Breakdown of Support Zone in Nifty50
Nifty50 has closed below 8500 witnessing a negative trend.
- The market has opened at 8499 and managed to post some early gains. But it witnessed selling pressure towards closing and it got settled at 8485 with the loss of 29 points.
- The volume is low when compared to the previous trading day. Support seen around 8400 levels where we could see the downward sloping trend line along with previous unfilled gap zone
- Indian Market underperformed the global market
- The top gainers of today’s market are Hindalco, Bharti Infratel, Hero Motorcorp, ACC and ITC.
- The top losers are BPCL, Asian Paints, NTPC, Adani ports and Sun Pharma
- SUNPHARMA lost over 50 rupees in last three days. Meanwhile the open interest has increased significantly. Hence an unwinding pressure may trigger further weakness for next few sessions.
- HEROMOTOCO managed to outperform in today’s session, support seen around 3300 levels. Bulls can consider long position above 3400 levels.
- AMBUJACEM has tested it 61.8% retracement level. Hence the recovery can be reliable above 245 levels.
- VEDL is currently outperforming the broader market. But in today session it failed to sustain its gains. However the volume is low, hence it is consider as a part of flag pattern.
- HINDALCO and INDUSINDBK are expected to rally further in coming sessions.
GST rates and key highlights
- GST rates has been approved today by the GST council which States that new GST will range from 5% to 28%.
- The lowest rate of 5% would apply for common use items and the highest rate of 28% will apply to luxury goods.
- The additional revenue from this will be used for compensating any losses in any of the States revenue during the 1st 5 years after implementing new GST.