Markets may start the day in Green

1 Aug 2022 , 09:04 AM

Indian equity markets may start the week in Green. Markets may like to continue the positive momentum of the previous week. SGX Nifty is also trading in the Green today. It is up by .07% since morning. Oil prices have declined further before the OPEC meeting due this week.  Oil supply related decisions will be taken this week. Stocks of companies such as ITC and UPL will be in focus today as these companies will declare their quarterly results today.

US markets saw another big day with the best month since October 2021 as July saw Nasdaq gain over 15% . Dow Jones saw gains of nearly 10%. Dow Jones rose another 300 points on Friday. Nasdaq closed higher by 200 points. US dollar fell to 1 month low index value of 105.60. Bond yields also traded near 3 month lows at 2.66%.

Asian markets have opened mixed with the Japanese ‘Nikkei’ trading flat while the ASX & Taiwan markets are in the green. The fresh geo political tension between China & Taiwan could see some profit booking in most markets. Chinese stocks will see more action as reopening has seen sharp rally in metals & auto as rebound in economic activity sees gains.

Nifty saw another super day with the index crossing 17100 with ease to hit a 3 month high.Nifty closed with gains of over 228 points. Bank Nifty closed higher by 113 points. SBI Life, Tata Steel, Hindalco and Sun Pharma led the gainers. Dr Reddy’s, SBI,Kotak and Axis Bank saw profit booking.Mid caps again saw high beta buying. Retail flows saw the Nifty smallcap 100 index gain over 1.70%.

Technical View: Nifty likely to find support at around 16900 while 17350 is likely to act as resistance on the upside. Bank Nifty likely to find support at around 37200 while 37900 is likely to act as resistance on the upside.

TRADING call (1-2 days) :BUY BHEL August future at 54-54.45. Stop loss: 53.05. Target: 55.5 

Derivative call- time period:(1 month) : BUY Lupin August future at 645-648. Stop loss: 633.10 .Target : 660