LAST WEEK
NIFTY opened the week with a huge gap-down at 15,862 with reports that the US is in talks with the EU nations on ban of Russian energy imports. The index had another gap-down opening on Tuesday but moved higher to close above 16,000 after taking support at 15,650. Wednesday saw a good up-move. On reports that Ukraine has given up on insisting for a NATO membership and Putin saying they have no intention to overthrow the government, NIFTY opened with a huge
gap-up on Thursday but it was followed by a sell-off. There was a recovery in the last hour with extreme volatility. NIFTY closed the day flat on Friday, ending the week 385 points or 2.37% higher.
BANK NIFTY opened the week with a gap-down at 33,250. There was a bounce-back from 32,150. The index moved higher but faced resistance at 34,000 on Wednesday. There was a gap-up opening on Thursday and the index even crossed 35,000. The sell-off brought the index down and BANK NIFTY consolidated on Friday, closing at 34,546, up 70 points or 0.2%.
IT moved higher by more than 3% last week.
Foreign Institutional Investors net sold shares worth Rs 24,000 crores last week.
Domestic Institutional Investors net bought shares worth Rs 35,000 crores.
We saw positive sentiments in the market when Putin said that there has been a positive shift in the talks. This has been negated by Foreign Minister during the weekend saying there has been no ceasefire and the invasion is continuing. The airstrikes have intensified now and the army is inching closer to Kyiv.
Crude oil was another highlight of the week, which rallied on US banning Russian energy imports. It had moved above $130 but then came down later and is trading just above 110 now.
DAX moved up by nearly 8% on Wednesday with the positive news from Ukraine but the situation has intensified now. Biden said that they have banned luxury goods export to Russia and Russia have limited their exports till 31 Dec.
The US inflation came out at another 40 year high, 7.9%. Other major updates include SEBI approving LIC IPO and state election results where BJP have won 4 out of the 5 states.
SGX NIFTY is at 16,480.
INDIA VIX is at 25.4
WEEK AHEAD
NIFTY has resistances at 16,650, 16,700 and 16,800. We can expect supports at 16,500, 16,450 and 16,320.
BANK NIFTY has supports at 34,150, 34,000 and 33,600. Resistances are at 34,800, 35,200 and 35,500.
Open Interest does not help much at this point. NIFTY has the highest call OI build-up at 17,000. The highest put OI build-up is at 16,000.
We will have to keep an eye on the progress of peace talks between Ukraine and Russia.
Fed will meet on 16th March and will announce the interest rate decision. It is expected that there will be a 25 basis points hike.
India will release the February inflation data on Monday. The markets will be closed on Friday as it is Holi.
It will be hard for our market to move above 16,850. DIIs have bought heavily last week but the FIIs continue their selling spree. Let us see how the big players act this week.
How was your week? Let us know in the comments section below.