27 Jul , 2022 By : Monika Singh
Share Market News Today | Sensex, Nifty, Share Prices LIVE: Dalal Street was trading volatile on Wednesday morning as headline indices danced between gains and losses. S&P BSE Sensex opened in the red but was soon seen soaring 100 points higher to touch 55,388 while NSE Nifty 50 regained 16500. Bank Nifty was seeing a tug of war between bulls and bears while India VIX rose nearly 2%, sitting above 18.5 levels. Asian paints was the top gainer on Sensex, up 1.16%, followed by Larsen & Toubro. Bharti Airtel, Dr Reddy’s and Titan were the top laggards.
As fears of a global recession grow, India’s GDP forecast has been trimmed by the International Monetary Fund (IMF) to 7.4% from 8.2?rlier. IMF’s forecasts come at a time when the US economy has already shrunk by 1.5% in the March quarter and many fear that growth may have slipped into the negative zone in the June quarter as well. For the global real GDP growth, IMF has slashed its projections to 3.2% in 2022 from 3.6% forecast in April. IMF’s projection was slightly higher than the 7.2% that the Reserve Bank of India projected earlier this year.
If one looks at the data for the past twenty years, the current year is the first instance which posted five negative monthly returns in its first six months for Nifty 50. So the markets have cut significant slack in terms of valuations, also the growth momentum looks durable from top line basis although there is some pressure visible in margins front which is also improving as overall inflationary environment recedes in second half of the year, further giving strength to earnings.
“The immediate support for Nifty is placed in the range of 16400-16350. Looking at the structure, one should avoid any shorts now as the momentum readings have cooled-off from the overbought zone and any positive reaction to the FED outcome can lead to a resumption of the positive momentum. However, the intraday volatility could remain high due to uncertainty and hence traders are advised to trade with a proper risk management.”
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