The US market yesterday was mixed where Dow jones was -105 points (-0.30%) whereas the IT index i.e. Nasdaq was positive by 24 points (+0.16%).
Following are the supports and resistance for two major indexes of INDIA.
Nifty support – 16125-16200
Nifty resistance – 16300-16350
Bank nifty support – 35600-35800
Bank nifty resistance – 36200-36400
Today support and resistance ranges are single as the market is consolidating in the small range. Hope to break this range on either side but we need some news to break this range and it might be from the US or our local news.
On Friday (Foreign institutional investors) FII were net Buyers and have bought 212 crores in the cash market. On the other hand (Domestic institutional investors) DII were net sellers and have sold around 716 crores in the cash market.
Every day there are more than 1 lakh new COVID cases registered in the US for the last 5-6 days. This is affecting the commodities market and hence creating volatility there. Gold, silver, Oil all commodities are corrected. Stock markets are consolidating near an all-time high. Dow Jones at its crucial level of 35000-35200. This consolidation will break on either side when volatility will increase. Indian market will react to the US markets in the future. The medium and long-term trend looks bullish but small dips & corrections are possible.