Indian markets may begin the week on a slow note

20 Jun 2022 , 07:58 AM

Indian markets may start the week today on a subdued note. Most other Asian markets are trading in the red today. Oil prices took some downward hit on Friday. This happened because concerns of a global recession strengthened further. Global recession will mean lower demand for oil.

US markets saw another volatile day on Friday with Dow Jones closing in the red, down by 38 points. Nasdaq rose sharply to close up 1.5% or 155 points. Crude prices tumbled with largest fall since March as demand concerns in short term took over. Bond yields closed lower near 3.24% as talks of recession saw money flow from equities into fixed income.
 
Asian indices have opened muted today with the Japanese ‘Nikkei’ trading lower by 50 points in early trade as markets await more data points.  Fall in crude oil prices notwithstanding, most Asian indices are trading flat today. Chinese stocks could be big gainers as reopening of travel and tourism could boost spending. 
 
Nifty saw another volatile session on Friday with the index swinging over 220 points before closing lower by 66 points. Bank Nifty outperformed, closing in the green as the markets bought financials with Bajaj Finance, Bajaj Finserv, ICICI, HDFC Bank and Bank of Baroda leading the gainers. Titan, Wipro, Shree Cement and HDFC Life led the losers. Mid-caps continued to be on the losing side with the Nifty next 50 down by 1.6%.
 
Technical View: Nifty likely to find support at around 15,150 while 15,750 is likely to act as resistance on the upside. Bank Nifty likely to find support at around 32,200 while 33,500 is likely to act as resistance.
 
Trading call (1-2 days): Buy Bandhan Bank June future at Rs308-Rs312.  Stop loss: 303.80.  Target: Rs317
 
Derivative call- (time period 1 month): Buy Hindalco June future at Rs333-Rs336. Stop loss :327.2. Target: Rs342