Market Opens In Negative On Monday; Here Is All The Update

Today morning both major US index futures are Negative by -270 and -170 points respectively hence Singapore nifty (SGX NIFTY) trading Negative by -130 points will be an opening gap down on Indian Markets.

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On Friday Indian markets were negative and closed in the red. Nifty closed at 16985 which is-263 points. On Friday bank nifty was also negative and closed at 35618 which is-930 points.

On Friday US market was Negative and closed in the red. Dow was -532 points (-1.48%). IT index i.e. Nasdaq was flat to Negative and closed -10 points (-0.071%).

Following are the supports and resistance for two major indexes of INDIA.

  • Nifty support – 16785-16915 & 17625-16700    
  • Nifty resistance – 17065-17125 & 17175-17225  
  • Bank nifty support – 35125-35325 & 334800-35000    
  • Bank nifty resistance – 35900-36000 & 36150-36250

 Yesterday (Foreign institutional investors) FII were net Sellers and have sold 2070 crore in the cash market. On the other hand (Domestic institutional investors) DII were net Buyers and have bought 1479 crore in the cash market.

The way FII’s are selling since last month we can assume that they were aware of the new variant and hence they booked their portfolio on higher levels. The COVID new variant is not that harmful which is proved globally but still, FII’s are selling and the reason behind this can be inflation issues in the future and RBI may start increasing interest rates.

Also Read : Indian Stock Market News Today!

FII’s are selling huge since the last few days and hence any bounce in the market is not sustainable and is sold out. These figures are about to worry for Indian markets. If Indian markets want to go towards all-time high levels then FII needs to start buying.

I haven’t been changing the above lines for a long time and the only reason is FII’s because they have been selling for a long time and there is no single day when they have purchased in the cash market. This selling needs to be reduced/stop sooner if we need to hold a big level and recent low of 16780 levels. If this selling increases further we will move below 16780 which will be very difficult for Indian markets.

I am still with the above statements as FII’s are still selling in the markets. The 2nd half of December can be seen as dry with volumes as many big institutions will not be dealing in markets as it’s a year-end for FII’s.