Bulls Power Indian Markets, Nifty Likely To Open Above 8650

Indian Market Outlook: The Indian benchmark indices were powered by bulls on Wednesday, strong buying was seen in all the sectors. Bank Nifty saw a charge of 300 points on the upside.

FII’s returned to the cash markets with buying figures over Rs.1300 cr, coupled with strong buying in the derivatives segment. Nifty is likely to move above its resistance levels of 8800-8900 levels in the February F&O expiry. Two major events namely the Union Budget and the RBI credit policy is lined up next week.

Bank Nifty’s recent high of 19300 has been crossed and if the Index is able to sustain above 19500, then a big up move towards 20000 levels is a possibility.

Nifty Future is opening at 8668 as per SGX Nifty at 8:50 am IST,almost 60 points above its previous close of 8613.

FII Activity for the year 2016-17

Month	FII Activity
January	-14356.01
February	-12513.1
March	24201.51
April	3056.28
May	-186.61
June	3957.95
July	10121.56
August	8778.01
September	3329.62
October	-5355.76
November	-19981.5
December	-11325.03
January 2017	-1868.45

The net FII's figure in cash market continues to be negative in Jan 2017, amounting to Rs.1868.45 Cr, after heavy Nov & Dec Selling figure, which was Rs. 19981.5 Cr and 11325.03 Cr respectively.

Open Interest Index F&O and Cash Segment Activity

In cash segment, yesterday, FII have bought shares worth Rs. 1379 Cr and DII bought shares worth Rs. 383 Cr. A combined buy of Rs.1761.80 Cr. For Jan 2017 Expiry, FII and DII together are net buyer of worth Rs. 2260.30 Cr.

In Index Options, yesterday, FII have bought 27023 contracts. Pro have sold 101198 contracts on last day. Combined there has been a net sell of 74175 contracts.

In Index Futures, last trading day, FII have bought 15981 contracts. Pro have sold 3139 contracts. Combined there has been a net buy of 12842 contracts.

International Market Morning Update:

Strong international markets are the backbone of this rally. The American S&P Index futures has surpassed its previous all time high of 2278 and is currently trading at 2291. The index has made a high of 2300.The German Dax is trading at 11840 which is a new monthly high.

Japan Nikkei is trading at 19474 which is 72 points above its previous close of 19402.

Data as on 26th January 2017. The % change is taken from previous day's close.

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Research Team - Tel: 033-30010001, write to us at clientsupport@dynamiclevels.com to give feedback. Website:www.dynamiclevels.com

1. The investment advice or guidance provided by way of recommendations, reports or other ways are solely the personal views of the research team. Users are advised to use the data for the purpose of information and rely on their own judgment while making investment decision 

2. Past performance is not an indicator of future returns.