On Monday Indian markets were strong. Nifty closed at 16793 which is +135 points. On Friday bank nifty was weak and closed at 36205 which is -225 points.
Yesterday Indian markets were closed on the occasion of Mahashivratri.
Yesterday US market was weak due to war. Dow was -597 points (-1.76%). IT index i.e. Nasdaq was also weak and closed -231 points (-1.63%).
Today’s Market Update
Today morning both major US index futures are weak by +50 and -20 points respectively and hence Singapore nifty (SGX NIFTY) trading Negative by -188 points hence will be an opening gap down on Indian Markets.
Monday’s Market Highlight
On Monday (Foreign institutional investors) FII were net Sellers and have sold 3948 crores in the cash market. On the other hand (Domestic institutional investors) DII were net Buyers and have bought 3351 crores in the cash market.
Worsening Russia Ukraine Crisis
The reason is to worry in markets as the war between Russia and Ukraine gets worst. War is always the worst thing for markets. If this war continues further then there is a possibility of world war. Yesterday Russia has carried out a drill of Nuclear weapons. Russia is still aggressive against Ukraine and they have asked the nuclear attacking team to be on high alert Russia can use this attack if the USA comes in between. If this happens it will get worst for markets as well.
Advice For Investors/Traders
Until and unless this problem gets solved traders should avoid trading in markets hence we have not given any support and resistance levels above. Investors should invest in every dip. Now if markets come near 15500 then an investor should invest 50% of their appetite.
The inflation will be on the highest levels if war continues as fuel prices and metal prices will rise as Russia is a major exporter of this. This inflation is a reason to worry for markets as interest rates can increase by FED and RBI.
Traders should protect their capital and should avoid trading in this kind of a market as this situation is once in a lifetime situation and hence should learn then try to earn.
Looming Threat Of Nuclear Weapons
Yesterday’s Secular weapons drill was a reason for US markets to fall as Russia had carried out a drill before 28th Feb and started a war on 28th Feb. Hence all the countries are worried about the drill carried out by Russia. Again traders should wait and watch to avoid trading and save capital and investors should invest in quality stocks/ quality funds when the market is more than 2% negative or below the recent low of 16200.