3-Dec-22 Technical & Fundamental Insight

Wall Street ended the week with flat to positive quarter as NASDAQ was up 2.09% on weekly basis as IT stocks did well after US Fed chair Jerome Powell speech.

In his speech Jerome Powell guided for slowdown in rate hike and would prefer to see impact of recent rat hikes, as interest impact with lag effect and commented that its impact on economy will be see in coming months.

Last week – review

Indian market was flat to around 1% up and also traded in narrow range. Banknifty underperformed as IT & Metal stocks outperformed as we expected, easy monitory policy to help these sectors.

Approach on Technical: Currently indices are technical uptrend above 18442 & Banknifty above 42730 – which has potential upside of 6% to 9% over a period of 3 – 5 weeks.

This week is expected to be volatile where Indices could take cues from event outcome of RBI MPC decision on 7-Dec-22 & Gujarat election on 8-Dec-22. Nifty range 18421 – 18887 & Banknifty range 42517 – 42996.

Any correction on indices at lower end of the range could be utilize for fresh entry opportunity.

Fundamental Insight

1) India’s FY23 Q2 GDP Grows 6.3%; GVA Expands 5.6%
2) India’s Fiscal Deficit Till October At 45% Of Full-Year Target
3) Deregulate Natural Gas Pricing By 2027, Bring It Under GST: Kirit Parikh Committee Report
4) GST Collections Stay Above Rs 1.4 Lakh Crore For Ninth Straight Month

Market View & Strategy

This week will be eventful as market will be reacting to exit poll of Gujarat & Himachal Pradesh election, RBI MPC meeting on 7-Dec-22 and election result on 8-Dec-22.

This week will be eventful as market will be reacting to exit poll of Gujarat & Himachal Pradesh election, RBI MPC meeting on 7-Dec-22 and election result on 8-Dec-22.

Click on the attachment to read the full report:

3-Dec-22 Fundamental & Technical Insight.pdf