Yesterday Indian markets were very strong and made all-time high at17540 and also closed at all-time levels at 17519 which is +139 points. Yesterday bank nifty was also strong and closed at 36852 which is +239 points from Tuesday’s closing.
The US market yesterday again recovered and closed in green. Dow Jones Yesterday closed positive by +236 points (+0.68%). IT index i.e. Nasdaq was also positive and closed +123 points (+0.82%).
Following are the supports and resistance for two major indexes of INDIA.
1.Nifty support – 17380-17440 & 17300-17350
2.Nifty resistance – 17550-17600 & 17650-17700
3.Bank nifty support – 36600-36750 & 36475-36550
4.Bank nifty resistance – 36850-37000 & 37100-37300
Yesterday (Foreign institutional investors) FII were net buyers and have bought 233 crores in the cash market. On the other hand (Domestic institutional investors) DII were net buyers and have bought168 crore in the cash market.
A correction in Dow jones can stop the Outperformance of Indian markets and hence Indian markets can consolidate in the upper range. Buying in Indian markets can be done on a support range where supports and shift slightly on the upper side.
As mentioned yesterday Indian markets have given break out and now the downside risk has reduced. This is the dream Bull Run where nifty have come up by +1000 points in just 1 month. This is just a dream coming true for investors. The market has still not given any sign of making a top and hence can still move upwards.