Nifty Rallied Higher & Breaks Above 18100 Resistance

NIFTY:

The NIFTY opened at 18074.30 with a gap up of just 21 points. The index initially consolidated and then breaks on the upside after recording its intraday low at 18932.45. Price rallied sharply and went above 18100. The index started facing resistance there and formed a trading range that lasted until the end. The Nifty recorded its intraday high at 18183.75 and finally closed at 18165.35 near its day’s high with a gain of 112.05 points or 0.62% up. OIL GAS, REALITY AND FMCG sectors have outperformed today and ended with a gain of over 1% followed by IT and AUTO. Media underperformed today and ended with a loss of nearly one per cent. The short-term trend is up now as the index has broken out from a narrow trading range inside 17800-18100. Prices are now heading towards the next resistance around 18250. We should look for buying only s far as prices are trading above the 18000 level.

BANK NIFTY:

The BANK NIFTY opened at 42271.80 without much of a gap. The index initially went down but soon found support and bounced up after recording a low at 42119.65. prices rallied higher and crossed above 42500 and then started facing resistance there. The index recorded its intraday high at 42555.90 and finally closed at 42473.75 with a gain of 192 points. PSU BANK has again underperformed today, saw a sharp downside move and closed with a loss of 1.25%. PVT BANK has outperformed today and closed with a gain of 0.54%. PVT BANK has outperformed today and closed with a gain of 0.54%. Within the index, in terms of points, HDFC BANK contributed the highest on the upside while BANK OF BARODA contributed the lowest. It was a gain a volatile day today where prices have seen sharp intraday swings, however, the bias was bullish today as prices closed near its day’s highs. Prices have seen a sharp rally in the first half and spent the second half moving sideways. We have been tracking a narrow trading range with support around 41700 and resistance around 42700. Today price have railed and now trading near the resistance level. It has been 9 days since prices are moving inside these boundaries. We may see a breakout soon

TECHNICAL PICKS

DERIVATIVE PICKS

TOP DELIVERY PERCENTAGE

UPCOMING ECONOMIC DATA

Domestic                                                                                                                                                  International
INR: Nikkei S&P Global Manufacturing PMI (Jan) on 1st  February, 2023 INR: Union Budget 2023-24 on 1st  February, 2023	USD: Building Permits (Dec) on 19th  January, 2023 USD: Initial Jobless Claims on 19th  January, 2023

NEWS UPDATES

• Benchmark indices gained for the second consecutive session on January 18 with Nifty closing around 18,150. At Close, the Sensex was up 390.02 points or 0.64% at 61,045.74, and the Nifty was up 112 points or 0.62% at 18,165.30. About 1882 shares have advanced, 1546 shares declined, and 126 shares are unchanged.

• The Rs 20,000-crore follow-on public issue of Adani Enterprises Ltd will open on January 27 and close on January 31, while bidding by anchor investors will start on January 25.

• GoMechanic founder Amit Bhasin has admitted to financial reporting errors at the Sequoia-backed car repair startup and stated that the cash-strapped company will lay off roughly 70% of its workforce while also having its accounts audited by a third party.

• IndusInd Bank on January 18 reported 58 percent growth in its consolidated net profit for the quarter ending December 2022 to Rs 1,963.54 crore, beating street expectations by a mile.The average estimate of five brokerages polled had pegged the net profit for the private sector lender at Rs 1,836 crore for the reported quarter. The lender had reported a net profit of Rs 1,241.39 crore in the corresponding quarter a year back..

Source: Economic Times,  Indian Express, Business Today, Livemint, Business Standard, Bloomberg Quint

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