Yesterday Indian markets were consolidating and closed positive at 17855 which is +2 points. Yesterday bank nifty has taken leadership and closed at 38171 which is +340 points.
The US market yesterday was also consolidating and closed in green. Dow Jones yesterday closed positive by +71 points (+0.21%). IT index i.e. Nasdaq was also consolidating and closed -77 points (-0.52%).
Following are the supports and resistance for two major indexes of INDIA.
Nifty support – 17775-17800 & 17600-17650
Nifty resistance – 17900-17950 & 18000-18075
Bank nifty support – 37825-38000 & 37675-37775
Bank nifty resistance – 38350-38450 & 38600-38700
Yesterday (Foreign institutional investors) FII were net sellers and have sold595 crore in the cash market. On the other hand (Domestic institutional investors) DII were net buyers and have bought1398 crore in the cash market.
As mentioned on Friday our oldest index Sensex has touched and sustained above 60000. The market still looks bullish in this Bull Run and the US market has also resumed its up move after correction. As mentioned yesterday that there will be a historic day when Nifty will touch 18000 but yesterday Nifty hasn’t touched that level but it is consolidating near 18000. Once this level is crossed then the journey towards 18500 can be smooth.
The leadership of Bank nifty is very positive which happened yesterday should continue and if this happens then 40000 can be easily seen. Leading banks like HDFC bank can start moving upwards if the bank nifty is a leader. Metals and IT stocks are not performing well these days after a big run and hence Nifty is yet not running and seating in back seat.