Nifty Plunged By 71 Points On Subdued Global Cues & Muted Domestic Macro

Market Wrap: 15/11/2017 (17:00)

NSE-NF (Nov):10163 (-71; -0.69%) 

(TTM PE: 25.81; Abv 2-SD of 25; TTM Q1FY18 EPS: 392; NS: 10118; Avg PE: 20; Proj FY-18 EPS: 418; Proj Fair Value: 8360)

NSE-BNF (Nov):25327 (-74; -0.29%) 

(TTM PE: 28.72; Near 3-SD of 30; TTM Q1FY18 EPS: 878; BNS: 25219; Avg PE: 20; Proj FY-18 EPS: 961; Proj Fair Value: 19220)

For 16/11/2017: 

Key support for NF: 10120/10095-10060/9970

Key resistance for NF: 10200/10220-10260

Key support for BNF: 25200/25150-24950

Key resistance for BNF: 25550-25750

Trading Idea (Positional):

Technically, Nifty Fut-Nov (NF) has to sustain over 10220 area for further rally towards 10260-10355 & 10410-10460 zone in the short term (under bullish case scenario). 

On the flip side, sustaining below 10200 area, NF may fall towards 10140/10120-10095/10060 & 9995/9970-9915 zone in the short term (under bear case scenario).

Technically, Bank Nifty-Fut (BNF) has to sustain over 25550 area for further rally towards 25650-25750 & 25825-25950 zone in the near term (under bullish case scenario).

On the flip side, sustaining below 25500 area, BNF may fall towards 25300-25200/25150 & 24950-24750 area in the near term (under bear case scenario).

Indian market (Nifty Fut/India-50) today closed around 10163, plunged by almost 71 points (-0.69%) after making an opening minute high of 10208 and late day low of 10125. 

Indian market today opened around 10200, gap down by almost 31 points on muted global/Asian cues amid US tax reform suspense (lower USD), China concern & commodity carnage (metals & oil) and worries about domestic macros.

Soon after opening, Indian market today came under renewed pressure on trade & fiscal deficit worries after slump in export last month coupled with solid imports bill on higher oil and high probable GST revenue shortfall after recent rate recalibrations; market is apprehending that Govt may do more such GST recalibrations in future to accommodate “people’s concern” ahead of elections; Govt is poised to lost around Rs.0.20 tln from the last week’s GST rejig alone.

EU market was also stressed on higher EUR, negative for their export oriented market and India being the part & parcel of the same global market was also under pressure apart from some of its own headwinds like terrible trade data, higher oil & higher inflation, mixed/muted earnings & stretched valuation; Nifty TTM PE is still hovering around 26, well above the 3-SD of 25 and historical average of 18.

Nifty Recovered Well Off The Day Low On Short Covering:

Looking ahead, Nifty Fut-Nov now needs to sustain over 10095-10060 zone; otherwise expect more corrections amid several global & local headwinds.

Today Nifty was supported by BPCL, Asian Paints, Ambuja Cem, ACC, Kotak Bank (buzz of M&A with a MFI-Ujjivan?), ICICI Bank, Infy, Hero Mot, IOC & TECHM, while it was dragged by Infratel, VEDL, Sun Pharma, Hindalco, IBULLS HSG, Indusind Bank, Bosch, Bharti Airtel, ONGC (Venezuelan default concern) & ITC.

Overall,  today Indian market was dragged by almost every sectors like Banks & financials, Automakers, FMCG, Techs, Media, Metals, Healthcare, Property developers/reality, Energies, Commodities, Consumptions, MNC & PSUS.

European Market Looking Stressed On Tepid Global Cues Amid Lower USD & Oil And China Slowdown Concern

By Asis Ghosh | 15/11/2017 - 08:37 

Asia Tumbled On Lower USD & Oil Coupled With China Growth Worries & Commodity Carnage

By Asis Ghosh| 15/11/2017 - 13:47 

USD Plunged On US Tax Reform Suspense & Mixed Economic Data

By Asis Ghosh | 15/11/2017 - 15:55

SGX-NF

BNF

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