IntradayTrade dot Net dot IN
Market Report

Tuesday, 03-May-2016

NSE

  • Sensex, which ended the day at 25,229.70, down 207.27 points or -0.81 per cent. NSE's 50-share barometer Nifty closed at 7,747.00, down 58.90 points or -0.75 per cent. The Nifty50 fell below its crucial support level of 7,750 at the closing today. Markets finished the session on a weak note owing to profit booking at higher levels tracking losses in their global peers.

  • The domestic equity market had a promising start on Tuesday and the benchmark indices showed strength through the first half of the session, but midway through the day, the indices gave up all the gains and slumped, ending the day deep in the red. Between gains and losses, the Sensex gyrated some 503 points during the session. The U-turn into the negative territory came immediately after the European markets opened for trading.

  • The Nifty50 today dipped below its key support level of 7,800 and formed a reverse Doji candlestick pattern on the weekly charts, suggesting that the NSE barometer could be in for some more correction, may be towards the 7,700 level, in the coming days. But in the long run, with earnings showing early signs of recovery and macroeconomic cues falling into place, analysts believe if there is no negativity from global markets, Nifty50 may retrace its lifetime high by the end of 2016.

  • Selling pressure is visible at higher levels. Nifty futures had reached the 7,950 level last week also, and clearly some fresh supply came in there. Today also, Nifty futures rose to those levels and since then, they have not traded higher. Nifty's inability to bounce from these levels is not good news and it increased the chances that the market would slide further if the weakness persists into tomorrow, said Dr CK Narayan.

NIFTY 3-Month

(Data/Charts courtesy NSEI/Yahoo!/iCharts/The Economic Times)