Ahead of the Market: 10 things that will decide D-Street action on Thursday
Here's how analysts interpreted the market:
«The domestic markets remained under pressure due to rising US bond yields and a stronger greenback. Concerns persisted over the upcoming Fed policy, interest rate trajectory, and rising oil prices,» said Vinod Nair, Head of Research at Geojit Financial Services.
“The Nifty opened gap down and traded with a negative bias throughout the day to close down 232 points.
On the daily charts, we can observe that the Nifty is in the process of retracing the rise it has witnessed from 19,223 – 20,222. On the downside, it can drift towards 19,840 where the 38.2% Fibonacci retracement level is placed.
The Nifty has witnessed a faster retracement and also breached the low of 19,914 (wave IV low), which suggests that the rise from 19,223 to 20,222 has completed a wave. The daily momentum indicator still has a positive crossover; however, we shall assign more weightage to the price action and expect the momentum to align with the price action sooner rather than later.
In terms of levels, 19,840 – 19,800 is the crucial support zone, while 20,050 – 20,100 shall act as an immediate hurdle zone,” explained Jatin Gedia, a Technical Research Analyst at Sharekhan by BNP Paribas.
That said, here’s a look at what some key indicators are suggesting for Thursday's action:
US stocks
U.S. stocks gained on Wednesday as Treasury yields retreated ahead of a likely pause in the Federal Reserve's policy tightening campaign, though concerns over rates staying higher for longer kept investor sentiment in check.
Instacart lost 5.0%, and was on course to join other new entrants in failing to hold on to their strong gains on debut.
