Global cues are positive today for Indian equity markets

3 Mar 2023 , 08:51 AM

Global cues from other equity markets are positive today. This may see Indian markets posting some gains today. Promoter entity SB Adani Family trust sold shares in a number of Adani Group companies, yesterday. Adani Group shares are therefore likely to see some more price movement today.

US markets saw a comeback yesterday. Dow Jones gained over 345 points to close near the high for the day. Markets bounce back from deeply oversold ground. Nasdaq also closed in the green, up 86 points, after being down by over 110 points in the day. Bond yields hit fresh new 3-year highs at 4.06%. Expectations of two further rate hikes by the Federal Reserve gets priced in.

Asian markets have opened in the green today. Japanese ‘Nikkei’ is up over 190 points in early trade. Chinese manufacturing data has come out very strong. This will increase inflows in Chinese stocks. Hang Seng index may prove to be an outlier in Asia, as it did in January. Expect metals, commodities to do well. Reopening of Chinese trade being the big positive.

Nifty saw another day of sell off after the 1-day rally, yesterday. Weekly expiry and weakness in US futures saw the index fall as foreign selling continued. Nifty fell by over 129 points. Bank Nifty lost 300 points. This, as the Adani group did a placement of over Rs 15,500 crore to a big foreign institution. Maruti, Axis Bank, TCS and Tech Mahindra led the losers. Adani twins led the gainers.

Technical View: Nifty is likely to find support at around 17350. 17850 is likely to act as resistance. Bank Nifty is likely to find support at around 40100. 41300 is likely to act as resistance on the upside.

Trading call:(1-14 days) : BUY Bajaj Finserv March future @ 1345-1355. Stop loss: 1323. Target: 1380.

Derivative call-time period: (1 months) : BUY Tata Steel March future @ 105-106. Stop loss: 103.35. Target: 108.