Indian equity markets may start the day in Green

23 Jun 2022 , 08:06 AM

Indian markets are likely to open in the Green today. Markets ended in Red yesterday because of profit-booking, after the rise of day-before-yesterday.  Some value-buying may take place today. That may propel markets in the Green territory in the opening hours. Crude oil prices declined by around 5% yesterday. For India any decline in oil price is always a positive news, even if it is because of increased fears of global recession. Current Account Deficit of India in March 2022 quarter stood lower than in December 2021 quarter.

US markets saw huge inside out day yesterday as Dow Jones swung over 650 points to close down by 45 points after being down over 350 points at the time of opening the day. Nasdaq saw swings of over 280 points before closing down by 18 points.Bond yields closed lower at 3.13% as crude prices fell sharply.
 
 Asian indices have opened in the green as yesterday’s sell off on weak Dow Jones futures played out opposite with the US indices staging a superb recovery.The Japanese ‘Nikkei’ is up by over 180 points in early trade.  Most other Asian indices are also trading modestly in the positive. Chinese stocks could see more color as Nasdaq listed internet stocks are seeing good buying interest.
 
Nifty saw a weak day , a day after the best rally in over 2 months, as weak global cues prompted profit booking with foreign selling and weak US futures seeing short positions at its highest. Metals,energy and weak rupee all dampened sentiments despite the largest fall in crude since early March.Mid caps also followed the trend with the Nifty next 50 falling over 1.83% . Market breadth was negative with decliners outpacing gainers by 2:1. 
 
 
Technical View: Nifty likely to support at around 15250 while 15850 is likely to act as resistance on the upside.Bank Nifty likely to find support at around 32600 while 34000 is likely to act as resistance.
 
TRADING call (1-2 days): BUY DLF June future at 304-306. Stop loss: 298.80. Target: 312
 
 
Derivative call- (time period 1 month): BUY Godrej Properties June future at 1165-1175. Stop loss: 1146.5. Target: 1200