Yesterday Indian markets have shown huge correction and closed negative at 17857 which is -353 points. Yesterday bank nifty also corrected a lot and closed negative at 39508 which is -1365 points.
The US market yesterday was super positive and closed at day’s high levels. Dow Jones yesterday closed positive by +239 points (+0.68%). IT index i.e. Nasdaq was positive and closed +179 points (+1.15%).
Following are the supports and resistance for two major indexes of INDIA.
Nifty support – 17700-1750 & 17600-17650
Nifty resistance – 17800-17850 & 17950-18000
Bank nifty support – 39300-39350 & 38675-38775
Bank nifty resistance – 39950-40100 & 40250-40350
Yesterday (Foreign institutional investors) FII were net Sellers and have sold 3819 crores in the cash market. On the other hand (Domestic institutional investors) DII were net Buyers and have bought 837 crores in the cash market.
The Global markets are positive and trading at all-time high levels but still Indian markets corrected a lot yesterday due to expiry pressure. The reason why our stop loss for investors was triggered was due to huge FII selling’s. For the last 5-8 days FII has sold more than 15000 crores of stock. Now as the strong levels of 17950-18050 have broken so we need to wait for some days to buy further. I still don’t think that this Bull Run has ended. This can be seen as a running correction and we can again make all-time highs in short term.