Indian equity markets may see profit booking today

12 Apr 2023 , 08:57 AM

Indian equity markets may see some profit booking today, after the gains of yesterday. TCS and some other companies will announce their March quarter results today. This too will have an impact on market movement today. IMF has forecasted that global GDP growth will come down to 2.8% in 2023 from 3.4% in 2022.

US markets saw a mixed day yesterday. Dow Jones closed higher by 100 points. Nasdaq saw profit booking to close lower by 52 points. Bond yields closed near 3.42%.  Oil prices rose in tandem with improvement in growth outlook. US dollar index closed unchanged near 102. 

Asian markets have opened on a mixed note today. Japanese ‘NIkkei’ is up by over 120 points in early trade. ETF flows are causing buying in Asian stocks as the US dollar weakens. Chinese stocks are also seeing gains. Import dependent stocks will see better margins due to weakening of US dollar. 

Nifty saw a day of gains yesterday, after consolidation. It closed above the pivotal level of 17,700, after almost 2 months. Banks led the gainers.  Kotak, Bank of Baroda & ICICI were the top gainers among banking stocks. Metals also joined the rally. JSW Steel, Tata Steel and Hindalco led the gainers among metal stocks. Profit booking was seen in IT stocks. TCS, Infosys & HCL Tech led the losers. Mid-caps also joined the party.  Nifty Midcap 100 index was up 0.50%.

Technical View: Nifty is likely to find support at around 17600. 17900 is likely to act as resistance. Bank Nifty is likely to find support at around 40800. 41900 is likely to act as resistance on the upside.

Trading call:(1-14 days): BUY DLF April future @ 404-407. Stop loss: 396.9. Target: 414.

Derivative call-time period: (1 months): BUY Godrej Prop April future @ 1230-1240. Stop loss: 1210.1. Target: 1260.