RIDDHI SIDDHI SHARE BROKERS Good Morning & Welcome to Monday’s trading action at Dalal Street dated 8th June 2020.
‘Motivated bulls and virtually extinct bears’.
*The positive baton from last week’s trade is seen passing to Monday’s trade *
RIDDHI SIDDHI SHARE BROKERS 7 AM GLOBAL UPDATE:
• DOW (+829, 27111)
• NASDAQ (+198, 9814)
• SGX NIFTY (+96, 10260)
• NIKKEI (+231, 23095)
• HANG SENG (+247, 25018)
• BOVESPA (+808, 94637)
• OIL ($39.28 a barrel)
• GOLD (+6, $1689)
• USD/INR: 75.52
INSTITUTIONS:
• FII: +97.61 Cr.
• DII: +47.29 Cr.
RIDDHI SIDDHI SHARE BROKERS SUCCESSFUL INVESTING IS ANTICIPATING THE TRENDS OF:
• Global: Neutral.
• FII: Positive.
• DII: Neutral.
• F&O: Positive.
• Trend: Positive.
• Sentiment: Positive.
• Technicals: Higher high/lows.
RIDDHI SIDDHI SHARE BROKERS NIFTY’s CRUCIAL LEVELS:
Nifty’s CURRENT MARKET PRICE: 10142.
RIDDHI SIDDHI SHARE BROKERS Nifty’s SUPPORT:
• Intraday: 10078/9931.
• Medium Term: 9637/9501.
• Long Term: 8501.
RIDDHI SIDDHI SHARE BROKERS Nifty’s RESISTANCE:
• Intraday: 10311/10551.
• Medium Term: 10701.
• Long Term: 11501.
RIDDHI SIDDHI SHARE BROKERS Nifty’s RANGE:
• Intraday: 10078-10311.
• Medium Term: 9101-10501.
• Long Term: 7501-11000.
RIDDHI SIDDHI SHARE BROKERS Nifty’s OUTLOOK:
• Intraday: Positive.
• Medium Term: Positive.
• Long Term: Neutral.
RIDDHI SIDDHI SHARE BROKERS IMPORTANT THEMES FOR THE DAY:85th June 2020.
To start with, it is difficult to be pessimistic about the outlook when everything is green and looks so good!
Well, Nasdaq has made new high!
The enthusiasm at Wall Street is such that the benchmarks are not only scaling new heights – post COVID March 19 lows but also they are reaching their peaks more quickly. The S&P 500 and the Dow Jones indices too continue to advance towards their February high at 3400 & 29551.42 respectively.
Long story short: Stocks at Wall Street remain red-hot and we see investors’ sentiment picking up each passing day.
Amidst this backdrop, Dalal Street is also likely to move up — up, up and away!
Honestly speaking, you cannot keep a low profile and sit on the sidelines i:e holding on to cash, at a time when our stock markets are moving up one way. Yes, it would be really frustrating to keep a low profile…
That brings us to Riddhi Siddhi Share Brokers call of the day which says Nifty likely trade with positive bias and most importantly, should shake off technical overbought fear conditions. That’s because, many a momentum stocks are signaling a breakout momentum signs + bargain hunting amidst oversold conditions. We suspect, many market participants will finally come around and get into being bullish on Dalal Street.
Amid this positive backdrop, expect all round buying in stocks. Our chart of the day is for perma bulls, recommending stocks like MRF, Adani Enterprises, L&T FINANCIAL, DIVIS LAB and MC DOWELL with interweek perspective on the buy side.
Technically, Nifty’s biggest hurdles to watch are at 10551-10601 zone. Major disappointment for the bulls only if we are able to move above these levels on closing basis. Downside on Nifty from here on should be limited at 9931.
Now, here are key things to know before today’s market open:
• As per Indian Meteorological Department (IMD) 5th June update, the monsoon that had stalled after its onset over Kerala picked up pace as Cyclone Nisarga rolled north-eastwards and inland. Timely arrival of monsoon is critical for agricultural production as will ensure kharif crops get sown properly.
• Investors will focus on the Federal Reserve’s policy meeting on Wednesday when Chairman Jerome Powell will comment on the economy’s prospects and whether further measures are needed to support growth. Traders, in