US And China Trade War Has Again Created Panic In Global Markets

  • Market Overview

Today Asian markets opened low as President Donald Trump said that 10% tariffs paid by China on $200 billion of goods will rise to 25% on Friday. This trade war between US and China created panic in Global markets. The following Asian markets opened in red Shanghai (-5.19%), Hang Seng (-3.45%), Nikkei 225 (-0.22%), KOSPI (-0.74 %) and Taiwan weighted (-1.89%). 12:30 can be a crucial time for the market as European markets will open that time.

The Indian rupee is trading lower at 69.41. Nifty opened at 11605 down by 0.78%. Indian market is in red; Nifty at 11613, down by 92 pts. Metal, PSU Bank and Financial Services are down by 2.24%, 0.725% and 0.94% respectively. Nifty small cap is at 6440, down by 26 points. Hindustan Unilever Ltd. (NS: HLL ) is down by 28 points, Tata Motors (NS: TAMO ) (-4.34%), Hindalco Industries (NS: HALC ) (-3.10%) and Jet Airways (NS: JET ) (-4.80%).

Sector Analysis:

NIFTY Smallcap 100 has risen 20% from 19th Feb 2019 low till 15th April 2019, thereafter the index has shown profit booking of 5% from April 15th High. Thus sectors that have performed well during that rally can be looked at carefully during this profit booking period. Top performing sectors from 19th Feb 2019 were Cement & Cement Products (23%), Infrastructure Construction & Engineering (15%), Banks-Private & PSU (15%), Financial Services (14%), Industrial Manufacturing (13%) and Metals & Mining (13%) which rose considerably as given in brackets. Today, some buying in the cash market has been observed and the above-mentioned sectors have risen by 1.52%, 1.81%, 1.64%, 1.92%, and 1.38% respectively. Therefore, if markets continue its rally then stocks in these sectors can be seen as a buying opportunity. One can select good stocks from these sectors from our app “Value Stocks” available on both Android and IOS.

Open Interest Analysis:

FII & PRO are the major players in the Derivatives segment and have an upper hand in the market and their position provides direction to the market. In the May month expiry, they have started with the position of (-79551) contracts in Index option (both FII & PRO combined) when Nifty spot was trading at 11642. Till last day they had Net Open Interest position of (-60246) contracts for the May expiry. Thus, if we calculate from expiry till yesterday they have not created any significant position, they have bought just 90305 contracts in the May month Expiry.

US Data

The US 10 Year T-Note is trading at 123.88. The Bond has crucial support at 117.42 made on 5th Nov 2018. The US Dollar Index is trading at 97.330.

Sectors performance on last week:

Sectors performance on last week

Small Cap Gainers on a weekly- Major Sector & Minor Sector

Small Cap Gainers on weekly- Major Sector & Minor Sector

Large Cap Gainers & Losers last weekly

Large Cap Gainers & Losers last weekly

Mid Cap Gainers & Losers last week

Mid Cap Gainers & Losers last week

Index Options:

Index Options

FII+PRO in combined have bought 27172 contracts on the last day in Index Options.

Cash Market Data

Cash Market Data

In the last 10 days, FII and DII in combined have bought stocks in cash segment worth Rs.2933.04 Crores.

Upcoming Results:

Upcoming Results

DISCLAIMER:

There is no guarantee of profits or no exceptions from losses. The investment advice provided are solely the personal views of the research team. You are advised to rely on your own judgment while making investment / Trading decisions. Past performance is not an indicator of future returns. Investment is subject to market risks. You should read and understand the Risk Disclosure Documents before trading/Investing.

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  • Shamim Akhtar @Shamim Akhtar
    Crude oil now going up
    Like 0
  • Ajit hindurao @Ajit hindurao
    crude oil lowest today
    Like 0

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