Nifty - Technical Analysis:
- Nifty had a gap-down opening today but tried to fill the gap through the course of the day. The intraday trend was bullish.
- Nifty once again took support around the 11240 levels but there is no clear momentum direction yet as indicated by the ADX indicating a week 14.61.
Market - Driving Factors:
- Travel and Tourism stocks ended up today after Russia announced progress on a COVID vaccine. IndiGo ended over 10%, Spice Jet over 6%, Indian Hotels 4.61% and EI Hotels almost 2% higher.
- Nifty PSU Bank index and Nifty Media index were the biggest gainers today and ended 2.7% and 2.37% in the green respectively. Nifty Pharma was the biggest loser today, ending 1.55% in the red.
- Gold continued to slip and has now fallen around 7% in the last 5 days.
Nifty - Outlook for Thursday, 13th August:
- There is no clear direction as to where Nifty might head in the short term. More details from Russia and WHO regarding the vaccine might give a direction to markets.
- The fall in precious metal prices is an indication that an influx into equity might be occurring soon. This is a positive sign for markets. This coupled with the fact that the USD is expected to weaken puts India in a good position to receive FII investments.
