InvestorQ : What is your trading view for the markets on 15 April 2021 as the markets open after a trading gap?
Dilmini Mercia made post

What is your trading view for the markets on 15 April 2021 as the markets open after a trading gap?

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diksha shah answered.
4 weeks ago
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On Thursday, the stock markets will resume trading after a trading break on 14 April and a 2-day banking and clearing break. After the sharp fall in markets on Monday when Sensex had lost over 1700 points, the Sensex bounced by a decent 660 points on Tuesday. However, the weak undertone revealed that it could be more of short covering.

Banks have been under a good deal pressure due to the expanded lockdown. They face the risk of rising bond yields and worsening NPA situation. On Tuesday, the last trading session, the rate sensitives like banks, NBFCs and realty names did stage a comeback. However, the low institutional participation indicates that it was more of short covering.

FPI action was negative on Tuesday with foreign institutions net selling of Rs.731 crore even as DFIs bought Rs.244 crore of equities. FIIs have been consistent net sellers in the month of April which is a kind of pattern reversal of last few months. This pressure was visible since the last week of February when the global investor shad turned cautious.

On Wednesday, the Dow Jones was in positive even as the NASDAQ lost about 1% of its value. Europe was relatively mixed across UK and continental Europe. SGX Nifty is down 70 bps in early trades but opening could be flat to negative as index catches up for the one day gap in trading. You can expect pressure at higher levels.


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