What a splendid Day it was. Nifty’s High jump from 10670 to directly 11381. Thank to FM Nirmala sitharama for corporate tax bonzana. Sensex skyrockets 1921 points to log biggest gain in 10 years on tax cut euphoria; Nifty zips past 11250.
WEEKLY RESISTANCE FOR NIFTY: 11400, 11500, 11600
PIVOT POINT: 11200
WEEKLY SUPPORT FOR NIFTY: 11100, 11000,
10900
WEEKLY CHART FOR NIFTY
DAILY RESISTANCE FOR NIFTY: 11350, 11450, 11550
PIVOT POINT:11250
DAILY SUPPORT FOR NIFTY : 11150, 11050, 10950
DAILY CHART FOR NIFTY
What a historical day it has been for corporates, the equity
market and consumers. The government, like in a T20 game, opted for some
serious hitting and managed to hit it out of the park as it announced a string
of measures to lift the economy. The steps, including reducing the corporate
tax rate to 25% from 35% for existing domestic companies and
an attractive rate of 15% for new companies set up after October 1 and
commencing operations before 2023, were greeted with uproarious cheer by the
equity market.
The way we concluded previous week on Friday, market was all set
to have a gap up opening on Monday of this week to surpass the major hurdle of 11150-11180.
But, due to Saudi oil attacks over the weekend, crude oil prices spiked up more
than 10% which spooked traders across the globe. We being the crude oil
sensitive economy could not be spared with it. The week started off lower and
minor attempt of recovery eventually got sold into to end the session tad above
the 11000 mark. Tuesday after a flat start, our markets witnessed an open-high
scenario as from the word go Nifty witnessed selling pressure. For the first
half, Index witnessed a gradual fall however in the second half after no signs
of recovery the selloff aggravated and eventually ended with a loss of 1.69% at
10818. As hinted by Nifty our markets started on a positive note on Wednesday
with more than 50 points gain however the rub-off effect from the previous
session pulled Index lower to erase all gains in the first hour itself.
Subsequently, Index managed to hold on to the previous session low around 10800
and after a tiring session of consolidation eventually ended with minor gains
of 0.21% at 10841. On Thursday in line with mixed global cues our markets
started on a flat note, however, Index immediately started witnessing selling
pressure and within the first few minutes itself broke previous two session’s
support of 10800. Subsequently, the undertone remained weak as Index continued
to slide lower throughout the session and eventually ended with deep cuts of
1.25% tad above 10700 levels.
NIFTY:
A STRONG SUPPORT WILL BE @ 11000; STRONG RESISTANCE LEVEL SEEN @11500