Last Week

Markets recovered after a heavy sell-off on Monday and closed near the month’s high.

NIFTY opened the week nearly flat at 17,209 and fell more than 200 points. But the index gained back over the course of the next 4 trading days, and NIFTY closed the week at 17,511, up 309 points or 1.7% for the week. 

BANK NIFTY also followed a similar pattern. The index opened on Monday at 36,252 and fell. After moving down below 36,000 on Monday, the index moved back up and closed above 37,100 on Friday. BANK NIFTY closed the week at 37,105, up 857 points or 2.37% from Monday’s opening.

NIFTY Metal closed 5% up and NIFTY Media was 9% up. Smallcap index outperformed the market.

Many stocks including BSE, IEX, CDSL and Reliance’s media stocks including TV18 Broadcast saw heavy buying in the week.

Foreign Institutional Investors(FIIs) have net sold again for Rs 9,200 crores worth of equity shares in the week. Domestic institutional investors(DIIs) net bought Rs 7,200 crores worth of shares during the week. 

Week Ahead

Inflation in the U.S. rose at the highest rate since 1982 at 6.2%. However, the markets there did not react very negatively to this data.

India’s Consumer Price inflation data is coming out tomorrow and wholesale data on Wednesday.

There are four IPOs lined up this week: Medplus Health Services, Data Patterns, HP Adhesives and Supriya Lifescience.

SGX Nifty closed in the green yesterday, at 16,625.

NIFTY has supports at: 17,500, 17,400, 17,325, and 17,200. There are resistances at  17,550, 17,600, 17,750 and 17,800.

BANK NIFTY has supports at 37,000, 36,850, 36,650, 36,500, 36,250, 36,000.. Immediate resistances to watch out are 37,250, 37,400, 37,500, 37,800, 38,000.

In NIFTY, the highest call OI build-up at 18,000, followed by 17,500.

The highest put OI build-up is at 17,400, followed by 17,200.

The highest call OI build-up is at 38,000 and the highest put OI Build-up is at 37,000 (At The Money).

Foreign Institutional Investors(FIIs) are selling more and more. But we are still seeing Domestic Institutional Investors buying. The level of 37,000 looks to be a good support for the Bank Nifty index. Looking for NIFTY to consolidate between 17,200 and 17,600 and if moving beyond this zone we might see more movements. What do you think? Let us know in the comments section down below!