Market Outlook for 21 Sep 2016

Categories: Daily Market Outlook
September 21, 2016Posted By Admin

Indian markets are likely to open on a cautious note on Wednesday tracking muted trend in global markets ahead of BOJ monetary policy decision and US FOMC Meet.

The Nifty50 on Tuesday closed below its crucial level of 8,800, but managed to hold above its support level at 8,750, which is crucial for the market to sustain the momentum on the upside. The index moved in a narrow range and developed a ‘Bearish Belt Hold’ kind of pattern on the daily candlestick charts after forming a ‘Small Bull’ candle on Monday.

Markets in Asia traded mixed on Wednesday, with the Bank of Japan’s (BOJ) monetary policy decision due later hanging over traders’ heads.

In Japan, the benchmark Nikkei 225 was lower by 0.43 percent, while the Topix index slipped 0.41 percent in morning trade. The Japanese yen traded at 101.66 against the dollar on Wednesday morning, a touch higher than its previous close at 101.69.

In Australia, the ASX 200 gained 0.16 percent, with most sectors trading higher. The energy sector advanced 0.54 percent, while the materials sector added 0.43 percent.

South Korea’s Kospi index traded flat at 2,026.13. In Hong Kong, the Hang Seng index traded flat at 23,527.92. Chinese mainland markets moved little in early trade, with the Shanghai composite flat at 3,020.85, while the Shenzhen composite gained 0.15 percent.