Wednesday 31 May 2017

Nifty May Open Almost Flat Following Mixed Global Cues; Domestic Market May Be Under Some Stress Today Amid Squabbling About GST By Various States; R-COM Default Fiasco & Moody’s Cautious Views About Prospect Of Indian Economy



Market Mantra: 31/05/2017 (08:30)

SGX-NF: 9620 (+5 points)

For the Day:

Key support for NF: 9570-9530

Key resistance for NF: 9640-9680

Key support for BNF: 23200-23000

Key resistance for BNF: 23275-23400

As par early SGX indication, Nifty Fut (June) may open around 9620, almost flat following mixed global cues. Overnight, US market finished slightly lower (-0.24%) amid mixed economic data & renewed EU & US geo-political concern; core PCE came subdued on YOY basis and together with that some dovish comments by two influential Fed members may be casting some doubt about June rate hike; although FFR is now indicating above 85% probability of the same.

In the morning, China’s official service & MFG PMI came just above estimate (slightly upbeat) and thus Asian market are now trading mixed (China is positive, while Japan is in slight negative due to tepid IIP data).
Back to home, Indian market may be under some stress today following various adverse comments about GST by WB & Delhi FM; all these may cast some doubt about 1st July roll out of the GST. R-COM/ADAG group may be another reason for some headwinds for the Indian market after downgrading by Moody’s yesterday; it may be an indication of corporate India’s stressed B/S and debt bomb.

Hints for actionable trading ideas for NF & BNF:

Time & Price action suggests that, Nifty Fut (May) has to sustain over 9680 area for further rally towards 9725-9770 & 9825-9865 in the short term (under bullish case scenario).

On flip side, sustaining below 9660-9640 area, NF may fall towards 9570-9530 & 9490-9440 area in the short term (under bear case scenario).

Similarly, BNF has to sustain over 23400 area for further rally towards 23500-23650 & 23875-24000 area in the near term (under bullish case scenario).

On the flip side, sustaining below 23350-23200 area, BNF may fall towards 23000-22900 & 22700-22450 area in the near term (under bear case scenario).



 SGX-NF

For mode details & advisory support, pls connect: https://t.me/MarketLive

No comments:

Post a Comment