Yesterday Indian markets were very strong in 1sthalf but closed at 16983 which is-70 points. Yesterday bank nifty was weak and closed at 35695 which is -281 points.
Yesterday US market was weak and closed Negative by -652 points (-1.86%). IT index i.e. Nasdaq was also weak and closed -245 points (-1.55%).
Following are the supports and resistance for two major indexes of INDIA.
- Nifty support – 16800-16925 & 16625-16700
- Nifty resistance – 17050-17150 & 17200-17350
- Bank nifty support – 35325-35525 & 34925-35125
- Bank nifty resistance – 35900-36025 & 36350-36650
Yesterday (Foreign institutional investors) FII were net Sellers and have sold 5445 crores in the cash market. On the other hand (Domestic institutional investors) DII were net Buyers and have bought 5350 crores in the cash market.
The way FII’s are selling since last month we can assume that they were aware of this and hence they booked their portfolio on higher levels. We need to be cautious now as markets are overvalued fundamentally and the new COVID variant can bring lockdown as we are watching in big countries like Germany.
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.