Share Market: These 6 reasons will have a direct impact on the market from Tuesday, know this before buying any stock
Share Market Cues:
Indian markets will remain closed for two days next week. But, the impact of many big factors will be seen in the 3-day trading session.
US President Donald Trump has postponed new reciprocal tariffs in more than 70 countries, after which the stock markets around the world are seeing enthusiasm. On Friday, a similar enthusiasm was seen in the Indian market. However, on a weekly basis, the market closed with a slight decline.
When the market resumes trading on Tuesday, many important domestic and global news of the week may have an impact on the markets. The domestic stock market will remain closed on Monday and Friday due to Dr. Bhimrao Ambedkar Jayanti and Good Friday.
Rupak Dey, Senior Technical Analyst, LKP Securities, said that the market is still in a negative trend even after Friday’s rally. He said, “Nifty faced resistance around 21-EMA on the daily chart, due to which it closed below the day’s high.The trend will remain negative until Nifty moves decisively above 23,000, which is the level at which significant open interest has been added. On the downside, there is support at 22,750; a break below this level could increase negative sentiments. On the other hand, a decisive move above 23,000 could trigger a rally towards 23,500.
Which major factors will have an impact on the market?
1. US-China tariff war
The global markets will keep a close eye on the US-China tariff war. President Donald Trump’s government has imposed a 145% tariff on Chinese goods imported into the US. Whereas, China has imposed a 125% tariff on American goods.However, Trump has halted tariffs imposed on more than 70 countries for 90 days.
2. Signals from the US Market
indian markets will also take cues from the US market. On Friday, the US market closed with a strong gain. The Dow Jones closed at 40,212.70 with a gain of 619.05 points or 1.56%. The S&P500 index closed at 5,363.36 with a gain of 500 points or 1.56%. Whereas, the Nasdaq closed at 16,724.50 with a gain of 337.14 points or 2.06%.
3. Focus on fourth quarter Results
this week, more than 30 companies will release their January-March quarter results. These include big names like IREDA, Angel One, Waree Renewables, Wipro, HDFC AMC, HDFC Life Insurance, Infosys, HDFC Bank, ICICI Bank and Yes Bank.
4. FIIs – DIIs data
The market will be looking at the data of foreign institutional investors (FII) and domestic institutional investors (DII). On Friday, FIIs sold shares worth Rs 2,519.03 crore, while DIIs made net purchases of Rs 3,759.27 crore.
5. Rupee vs Dollar
The rupee on Friday closed at 86.04 against the dollar, up 64 paise from its Wednesday close. However, it ended the week 0.9% lower, its worst weekly performance in two months. It was trading at 84.97. The rupee’s recovery came as the dollar weakened globally.The dollar index fell 0.7% to a three-year low, fuelling concerns of a US recession.
6. Crude oil moves
Brent and WTI crude gained $1 on Friday after US Energy Secretary Chris Wright said the US could end oil exports to Iran. Crude oil prices have fallen more than 10% from their peak due to uncertainty about tariffs.US WTI oil contracts were up $1.41 or 2.35% at $61.480. While Brent crude oil was hovering near $64.76, up $1.26 or 1.99%.
Disclaimer:
The advice or opinions given on Taplumarket are the personal views of the expert, brokerage firm, the website or management is not responsible for it. Before investing, please consult your financial advisor or certified expert.
