06.02.24-Tuesday, 08.30 am 

Good Morning all .....

What has happened yesterday? Nifty Index, contrary to our expectation opened on a positive note with gap up at 21921.05; our expected opening band 21855-21835 on the opening move, made a day high 21964.30; further it moved down, made a day low 21726.95 and closed on a negative note at 21771.20 with an intra loss 82.10 points, i.e., -0.38%.

What will happen today? 

Nifty Index: Today, Nifty Index may open on a flat to positive note near 21770-21815-21835 levels; if open, trade and sustain above 21835 then, the index may test 21850-21880-21895-21925-21965-22010-22030-22060-22080-22125 levels. On the other hand, the immediate support lies at 21725-21705 if, the Index moves below 21705 then, it may try to re-visit 21660-21630-21610-21575-21530-21485 levels.

Special Mention: Yesterday, Nifty Index continued the southward journey till 21726.95 and closed well below 21835 levels, now the Index must trade and close above 21835-21965 for atleast 2-3 trading session then only it can continue the rally till 22125-22210-22460 levels. On the other hand, it looks difficult to move above 22125 for time being since, the double top formation made by Nifty index, further the weakness-cum-sell-off dragged down and closed very well below 21835 levels, if the sell-off continues below 21700 then, the next support seen at 21480-21330, further weakness below 21330 then, the Index may try to re-visit 21140-20870 levels in the near term. Let see how the Index opens today at 21770-21815-21835 levels. 

Nifty Bank Index: Yesterday, Nifty Bank Index opened on a negative note at 45962.25; on the opening move, it made a day low 45615.10 thereafter, it moved up, made a day high 46048.80 and closed on a negative note at 45825.55 with an intra loss 145.40 points, i.e., -0.32%, today the Nifty Bank Index must move above 45930-46000 levels; if to do so, then it may try to test 46050-46105-46180-46255-46330-46405-46520 levels. On the other hand, any weakness near 45930-46000 further, it moves below 45780-45720 then, the Index may re-visit 45615-45500-45395-45285-45175-45070 levels.

FII's & DII's Funds Flow: Yesterday, FIIs continued as a net buyer, they bought on the net basis to the tune of Rs.518.88 Cr. On the other hand, DIIs turned as a net seller, they sold on the net basis to the tune of Rs.1188.68 Cr. 

INDIA's Macro Data:

On 01st Feb'24, the HSBC Manufacturing PMI data for the month of Jan'24 released, it moved up to 56.50% from 54.90% (Dec'23). Likewise, the HSBC Services PMI data for the month of Jan'24 released on 05th Feb'24, it  moved up to 61.80% from 59% (Dec'23).

The RBI MPC meet held on 08th Dec'23-Friday, the MPC maintained status quo in the Repo rate without changing the interest rate i.e., 6.50%. Next RBI MPC meet will be held on 08th Feb'24-Thursday.

GDP data for the Q2 ending Sep'23 released on 30th Nov'23-Thursday, the GDP has moved down to 7.60% Vs.7.80% (Q1-Jun'23). 

IIP data for Nov'23 released on 12th Jan'24-Friday, the Industrial production has come down to 2.40% when compared to the Oct'23 level, i.e.,11.60%. 

Annual Inflation data for Dec'23 released on 12th Jan'24-Friday, the inflation has further moved up to 5.69% from Nov'23 level i.e., 5.55%.

WPI Inflation data for the month of Dec'23 released on 15th Jan'24-Monday, it has moved up to 0.73% as against the Nov'23 level i.e.,0.26%.

Wishing you for a safe, secured and profitable trading.

DISCLAIMER:

The writing in the above daily market update should only be construed as guidance. I assert that any business or investment decisions should not be based purely on the information presented in the daily market update. As a Research Analyst, I will not be responsible for any losses incurred by a visitor/investor/client, as a result of decisions made based on any information given in the daily market update.

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