InvestorQ : What is your trading view on Nifty and Sensex for 03 March? Do you see the Nifty rally further to above 15,000?
Niti Shenoi made post

What is your trading view on Nifty and Sensex for 03 March? Do you see the Nifty rally further to above 15,000?

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diksha shah answered.
8 months ago
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I will come back to your question on Nifty 15,000 later and talk about market trend on Tuesday first. After the sharp rally on Monday, the Sensex rallied another 483 points on Tuesday to close above the psychological 50,000 mark. This recoups more than 50% of the losses of Black Friday, although the Nifty remains below the 15,000 mark by 80 points.

The good news is that the VIX tapered further to 23.7 and that is a fairly sharp fall from a high level of 29 levels on Friday. While the fear is down, the VIX still needs to come closer to the 20 levels to give conviction that downsides are limited. There was profit booking visible in PSU counters but solid auto numbers should be positive for the market sentiments.

After a gap, there were signs of genuine buying from foreign investors. FPIs were net buyers to the tune of Rs.2,223 crore while DFIs sold Rs.854 crore on Tuesday. In February, the flows had turned negative on the back of the late selling in the end of February. However, March appears to have begun on a positive note in terms of FPI buying.

The US markets came under pressure on Tuesday with Dow and NASDAQ closing in the negative with the Nifty falling as deep as -1.7%. Europe was in the positive while the SGX Nifty traded 25 bps in the positive in early trades on Wednesday. Asian cues are mildly positive in early trades and that could hold the key in the first half.

Regarding the Nifty, 15,000 and 15,100 would be the next serious targets to watch out for, but the Nifty will need a real boost. For example, in the last few days, the GDP at +0.4% and the robust GST collections have turned sentiments. However, the indices will look for more such positive indications to make a decisive breach up.

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