A morning walk down Dalal Street | Trend is still negative, trade with strict stop loss
Episode 1644, Sep 05, 2019, 01:30 AM
The S&P BSE Sensex rallied by more than 160 points while the Nifty50 reclaimed 10800 levels.
India Volatility Index (VIX) sheds nearly 5%, its biggest 1-day loss in almost 3 weeks
Financials led the rally as Nifty Bank outperformed other indices, up 1%. HDFC Bank & ICICI Bank contributed nearly 80% to Nifty Bank’s gain.
Nifty50 was looking oversold after Tuesday’s fall and some kind of technical bounce back was required, but can we saw that we are out of the woods? Well, maybe not.
For bulls to take control, Nifty has to close above 11040 levels first and then climb above 11200 which is also near its 200-DMA.
In absence of any domestic cues, uncertainty in global markets would induce more volatility and could negatively impact investor’s sentiments.
The Indian rupee clawed back some lost ground on September 4, gaining 27 paise to settle at 72.12 against the US dollar in line with a recovery in domestic equities.