The running of bulls will continue…Nifty is likely to aim new record high!

*Morning Action @ 7 AM – Monday, September 16th 2024*

# Gift Nifty is indicating positive start for our stock markets, hopefully, new uncharted territory continues to be the new normal for benchmark Nifty.

*7:00 AM GLOBAL UPDATE:*
# GIFT Nifty 🇮🇳: (+48, 25434)
# Dow Futures: (+10, 41404)
# Nasdaq 100 Futures (-17, 19497)

# Nikkei (Closed, 36582)
# Hang Seng (-116, 17253)

# Dow Jones (+297, 41394)
# Nasdaq (+114, 17684)
# Bovespa (+853, 134882).

 

MARKET TRENDS:
# Global: Positive
# FII: Positive (+2364.82 Cr)
# DII: Positive (+2532.18 Cr)
# Sentiment: Bullish
# Market Breadth: Positive
# Technicals: Higher High/low
# F&O: 24500 – 26000 zone.

# INDIA VIX 12.55 (-4.78%)
# Nifty PCR (26th Sept) 1.61
# Bank Nifty PCR (25th Sept) 0.86

# Nifty Outlook: Nifty to start the day on front foot.

# WHAT TECHNICALS TELLS US ON NIFTY & BANK NIFTY:

Nifty Technically:
Nifty (CMP: 25357)
SUPPORT: 25189/24885
RESISTANCE: 25551/26000
RANGE: 25300-25550
BIAS: Positive
21 DMA: 25004
50 DMA: 24692
200 DMA: 22781

Bank Nifty Technically:
BANK NIFTY (CMP 51938):
SUPPORT: 51643/51025
RESISTANCE: 52357/53359
RANGE: 51700-52700
BIAS: Positive
21 DMA: 51146
50 DMA: 51339
200 DMA: 48656

*WHAT EXACTLY HAPPENED AT WALL STREET IN FRIDAY’S TRADE:*

# Wall Street ends Friday’s trade on a positive note as the key benchmarks were seen climbing mostly encouraged by the latest mostly in-line inflation data.

# Interestingly, it panned out to be best of 2024 for the S&P 500 and the Nasdaq. On a weekly basis, Dow climbed 2.6% while Nasdaq zoomed 5.93% higher. The S&P notched a 4% weekly gain.

# Bottom-line: According to CME Group’s FedWatch Tool, futures traders are pricing in a 67% probability the Fed will cut rates by a quarter-percentage point next Wednesday. Odds of a half-percentage point cut are currently at 33%.

# WTI Crude oil trades firm at the $69 per barrel, driven by disruptions from storm Francine.

# COMEX Gold zooms higher towards $2583 per ounce.

NEED TO KNOW:

# The street eagerly awaits the listing of Bajaj Housing Finance shares, scheduled for Monday, September 16, 2024.

Bajaj Housing Finance IPO had received Rs 3,80,000 cr worth of bids for a Rs 6560 cr IPO. Media report suggests the grey market premium (GMP) of the public issue continues to remain above 100%.

# Dalal Street is set for an action packed week with seven new public issues ready to hit the primary market. In addition to the new public issues, 13 companies are scheduled to make their debut on the stock exchange.

# This Monday morning, Gift Nifty is racing higher towards new record highs as Nifty bulls will aim to take over the positive baton from last week’s trade.

# The benchmarks, Nifty and Sensex new historic high continues to be at 25433.35 and 83116.19 respectively.

# The positive catalyst: Bullish sentiments are prevailing as investors are loading up on stocks before the Federal Reserve cuts interest rates on Wednesday.

# As of recording, according to CME Group’s FedWatch Tool, futures traders are pricing in a 53% probability for a 0.25% cut and a 47% chance it’ll be 0.50%.

# Bottom-line: Expect more fireworks at the FOMC meeting outcome which will conclude on September 18th.

# IT stocks will continue to be in limelight after Wipro gained 4% in Friday’s trade after CEO Srini Pallia emphasised the company’s continued commitment to its five-pronged growth strategy. (Source: Moneycontrol)

# Persistent Systems stock price is in limelight, and most importantly, are flirting with its all-time-high at Rs 5,387.85 per share after the company signed an asset purchase agreement with SoHo Dragon to acquire some of its assets. (Source: Moneycontrol)

 

# Now, here is the preferred trade on Nifty and Bank Nifty:

Nifty (25357): Buy at CMP. Stop at 24951. Zone. Targets 25500/25701. Aggressive targets at 25900-26100 zone.

Bank Nifty (51938): Buy at CMP. Stop at 51001. Targets 52357/53359. Aggressive targets at 54000-55000 zone.

# Our chart of the day is bullish on INDUSIND BANK, TATA COMMUNICATION, PERSISTENT SYSTEMS and LTTS on any intraday weakness with an interweek perspective.

# The 1 Stock to Buy Right Now:

Buy LTTS (CMP 5778): Buy at CMP. Stop at 5671. Targets 5865/6000. Aggressive targets at 6161. (Interweek Strategy). Rationale: Momentum oscillators in bullish mode. Higher high/low.

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