As expected last week nifty increased sharply by 0.99% and closed at 18696 levels. It made a new high of 18887 levels. Banknifty increased sharply by 0.28% and closed at 43103 levels.
Positive data came from the US and positive global equity markets were positive for the indian equity market, however fall in dollar and fall in US bond yield were positive for the equity market. Signs that China may be shifting its approach to containing COVID-19 outbreaks to focus more on vaccinations helped stocks rally in China and Hong Kong. Hang Seng in Hong Kong increased 0.8% and the Shanghai Composite index climbed 0.5%. Morgan Stanley predicts a $6.5-trillion boom in India’s stock market by 2030, they indicated that they see financial services, automobile and auto ancillary, healthcare services, industrials, real estate and exporters as the key investment themes for investors over the next decade.
for the next week we are expecting that the nifty and banknifty may trade with positive bias. nifty has a strong support at 18300 levels and then 18000 levels, resistant at 19000 and then 19350 levels. Strong fundamental triggers and strong technical charts parameters indicating optimism in the usdinr report. Bank nifty support at 42400 and then 41600 and resistance at 43900 and then 44500 levels. Technical trend is positive and we are expecting that nifty may test 19100 tl 19300 levels and bank nifty may test 45000 levels.
Last week rupee appreciated by 0.39% and closed at 81.30 levels.India’s foreign exchange reserves rose for a third week, aided by revaluation gains amid easing of pressure on the rupee and a less hawkish Fed. The foreign exchange reserves of Asia’s third largest economy rose $2.89 billion to $550.14 billion for the week ending Nov 25, according to data released. for the next week we are expecting that the rupee may appreciate and may test 80.50 to 80.70 levels.