The Nifty which started on a positive note failed to hold on to gains and closed flat on Tuesday making a ‘Shooting Star’ kind of a pattern on the daily candlestick charts.
A 'Shooting Star' pattern is formed when the index comes under selling pressure at higher levels as traders start booking profits. India VIX declined marginally by 0.20% at 14.46. We require volatility to decline below 13-13.50 to extend its recent bounce back move.
The bulls look very much in control and the short coverings move could extend for a couple of more sessions. The next crucial levels which could act as stiff resistance for the bulls is 10,478 which is close to its 50-DEMA which is placed at 10,492.
According to Pivot charts, the key support level is placed at 10,376.87, followed by 10,326.93. If the index starts to move higher, key resistance levels to watch out are 10,477.67 and 10,528.53.
The Nifty Bank closed at 24,738.7 on Tuesday. The important Pivot level, which will act as crucial support for the index, is placed at 24,554.3, followed by 24,369.9. On the upside, key resistance levels are placed at 24,966.4, followed by 25,194.1.
Stay tuned to Moneycontrol to find out what happens in currency and equity markets today. We have collated a list of important headlines from across news agencies.
Wall Street slides on Tillerson exit, tariff worries
Wall Street’s major indexes fell on Tuesday as the dismissal of U.S. Secretary of State Rex Tillerson and the possibility of additional U.S. import tariffs against China dragged down stocks across sectors, a Reuters report said.
The Dow Jones Industrial Average fell 171.58 points, or 0.68 percent, to 25,007.03, the S&P 500 lost 17.71 points, or 0.64 percent, to 2,765.31 and the Nasdaq Composite dropped 77.31 points, or 1.02 percent, to 7,511.01.
Asian markets decline, tracking losses on Wall Street
Asian markets tracked losses seen on Wall Street early on Monday, following the sacking of US Secretary of State Rex Tillerson, and amid talk of potential US tariffs against China. The Nikkei 225 fell 0.94 percent, or 207.05 points while the Kospi edged down by 0.6 percent in the morning, CNBC reported.
SGX Nifty:
Trends on SGX Nifty indicate a negative opening for the broader index in India, a fall of 35 points or 0.34 percent. The Nifty futures were trading around 10,394-level on the Singaporean Exchange.
Trump seeking tariffs on up to $60 bn Chinese goods
US President Donald Trump is seeking to impose tariffs on up to USD 60 billion of Chinese imports and will target the technology and telecommunications sectors, two people who had discussed the issue with the Trump administration said on Tuesday, Reuters reported.
While the tariffs would be chiefly targeted at information technology, consumer electronics and telecoms, they could be much broader and the list could eventually run to 100 products. China runs a USD 375 billion trade surplus with the United States.
US crude falls 1% on concerns over rising output
Oil prices stabilised early on Wednesday after posting two days of falls at the start of the week. US. West Texas Intermediate crude futures were at USD 60.86 a barrel, up 15 cents, or 0.25 percent, from their previous close. Brent crude futures were at USD 64.70 per barrel, up 6 cents, or 0.1 percent.
Trump removes Secretary of State Rex Tillerson, CIA's Mike Pompeo to take over
US President Donald Trump tweeted early on Tuesday morning that Rex Tillerson will no longer be the Secretary of State. His tweet stated that CIA Director Mike Pompeo will replace Tillerson, while Gina Haspel (his deputy) would become the first female Director of the CIA.
PNB fraud: Amount rises to Rs 13,640 cr; additional exposure found in Gitanjali group
Punjab National Bank said that it has uncovered additional exposure of about Rs 942.18 crore to Asmi Jewellery of Gitanjali Group in connection with a massive alleged fraud. The bank has said that the total amount allegedly defrauded by the accused (Gitanjali Group) till date is about Rs 7,080.86 crore during the period 2013-17, according to the CBI filing.
Nearly 30 banks paid out funds based on LoUs issued by PNB: Report
Nearly 30 banks are said to have paid out funds based on letters of undertaking (LoUs) issued by Punjab National Bank on behalf of jewellers Nirav Modi and Mehul Choksi and their companies,
A parliamentary committee's report names banks such as State Bank of India, Union Bank of India, Allahabad Bank and Axis Bank among those that honoured the PNB guarantees, the Economic Times reported.
RBI bars banks from issuing LoUs in Nirav Modi scam fallout
RBI on Tuesday barred banks from issuing guarantees in the form of letters of undertaking (LoU) as it clamped down on the import financing route used by fugitive jeweller Nirav Modi and his uncle Mehul Choksi for allegedly committing India's biggest bank fraud.
The Reserve Bank of India also banned with immediate effect issuance of letters of comfort which, like LoUs, are used by importers to fund their overseas purchases. However, letters of credit and bank guarantees will continue upon meeting certain conditions, the central bank said in a press statement.
Rupee rises 15 paise to 64.89 against dollar
The rupee on Tuesday rose further by 15 paise to close at 64.89 against the US currency on heavy foreign fund inflows after strong macro-economic data. The local currency settled at 64.89 per dollar, showing gains of 15 paise or by 0.23 percent.
Aadhaar: Supreme Court extends linking deadline indefinitely
The Supreme Court indefinitely extended the deadline for linking of Aadhaar numbers with bank accounts and phone numbers, till the top court pronounces its verdict in the ongoing case.
HAL launches Rs 4,230 crore public offer
Hindustan Aeronautics (HAL) on Tuesday launched an initial public offer to raise up to Rs 4,230 crore, through which government will divest up to 20.20 per cent in the Maharatna company. The sale is part of the government's Rs 75,000-crore divestment process.
The IPO will see the company selling 34,107,525 equity shares of face value of Rs 10 through an offer for sale by the President. The offer comprises a net offer of 33,438,750 equity shares and an employee reservation of up to 668,775 shares.
Bharat Dynamics IPO sees 32% subscription on Day 1
The Rs 960 crore initial public offering (IPO) of public sector unit (PSU) Bharat Dynamics Ltd witnessed an overall subscription of 32% on Tuesday, the first day of the share sale, data from stock exchanges showed, Mint reported.
Bharat Dynamics has priced its shares in a band of Rs413-428 per share. The IPO will close on 15 March. The initial share sale of Bharat Dynamics is a pure offer for sale that will see the government selling a total of 22.45 million shares, representing a stake dilution of about 12 percent.
6 stocks under ban period on NSE
Security in ban period for the next day's trade under the F&O segment includes companies in which the security has crossed 95 percent of the market-wide position limit.
Securities which are banned for trading include names such as Andhra Bank, Balrampur Chini, BEML, DHFL, IDBI Bank, and JP Associates.
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