Markets may open either way today

22 Jun 2022 , 08:11 AM

There is an equal probability of Indian equity markets opening either in Green or Red today. US markets closed in the Green yesterday after some good gains. The momentum seen yesterday in Indian equity markets may continue today. Or profit booking may dominate from the beginning of the day, causing the markets to open in the red.

US markets saw short covering based bounce back which led Dow Jones close higher by over 630 points. Nasdaq closed with gains of over 270 points. Bond yields traded near 3.26% even as oil prices saw decline with growth concerns weighing on prices, along with short term demand/supply mismatch.
 
 Asian indices have opened flat as markets anticipated oversold conditions in the US to see a bounce and will watch further the data due this week on jobs outlook.The Japanese ‘Nikkei’ which was up sharply yesterday is trading flat today while other markets like South Korea and Taiwan are trading in the red after yesterday’s rally on profit booking. Chinese stocks are also consolidating after the reopening as markets await further data on sales and turnover to decide the trend going forward.
 
Nifty saw a superb comeback from deeply oversold territory with the index rallying nearly 300 points.Bank Nifty was up 500 points while mid caps also bounced back strongly from the recent carnage.The Nifty midcap 100 index closed higher by over 3.56% even as breadth was very positive.Metals, auto & energy stocks led the gainers .Only Nestle and Apollo Hospital closed in the red.
 
 
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): Sell Tata Steel June future at 883-888. Stop loss: 903.6. Target: 868
 
 
Derivative call- (time period1 month): Sell Adani Port June future at 688-692. Stop loss: 702.95.  Target: 676