Pre Market Updates: Friday October 5, 2018
- Asian markets weak in early trade
- Yesterday Government has cut excise on petrol and diesel by Rs 1.5 per litre. Oil marketing companies have been asked to bear remaining burden of Re 1 per litre. Then all oil marketing counters fall drastically.
- Reliance Industries was the main contributor towards the fall in the Index tanking 6.87%. HPCL, BPCL, and IOC ended the day 13.54%, 12.36%, and 11.43% lower, respectively.
- RBI monetary policy set to be announced today
- Rupee crashes to all-time low
- Crude oil prices racing to a four-year high on October 4.
- Volatility is not cooling down which is not giving the relief to bulls and suggests a tight bear grip in the market.
- Nifty momentum remains week
- Nifty likely to face resistance at 10660 and Support at 10500
- USD index bottoming out at 89 in Jan – now at 96
- Interest rates in US breakout > 2.65% in Jan -now at 3.21%
- USDINR breakout > 69 and now at 73.75
Nifty50 Technical Analysis: Nifty Bearish Belt Hold
- Nifty formed a ‘Bearish Belt Hold’ kind of pattern on the daily candlestick chart.
- Resistance they offer against the trend will be even much stronger.