Markets may begin weak tracking negative global cues

Today, India markets may open the session on a pessimistic note tracking weak global cues. The SGX Nifty is indicating that the Nifty could open with a loss of 18 points around 10,216 at the opening bell. Traders will keep an eye on the 200-SMA on the daily chart of Nifty, which it is placed around the level of 10,158. In the last instance, we saw Nifty bouncing back from its 200-SMA, so this will be a crucial level to watch out for in today’s trade.  

Majority of the Asian markets have opened with a negative bias in the morning trade on Monday. Japan’s benchmark index Nikkei 225 has shed 202 points at 21,475, China’s Shanghai Composite has lost 16 points to 3,254 and Hong Kong’s Hang Seng is trading just above the flat line.  

Back home, Friday turned out to be an awful day of trade for Indian equity benchmarks, with the frontline indices tumbling below their crucial 10,200 (Nifty) and 33,200 (Sensex) levels, as traders took a beating as fears of trade war with the US worries persisted. After making a gap-down opening, markets never looked confident and extended their southward journey to end at the day’s low. All sectoral indices ended in the red, with the Nifty Metal slumping 2.37%. The broader indices Nifty Mid-cap and Small-cap ended lower by 1.06% and 1.35%, respectively.   

The US stocks advanced tepidly on Friday as a round of positive economic data overshadowed ongoing political uncertainty. The S&P 500 ended its longest losing streak since December, adding 4 points to finish at 2,752, the Nasdaq Composite index almost remained unchanged at 7,482 and the Dow Industrial Average rose 73 points to close at 24,947.  

The European stock markets ended the last trading session of the week on Friday with modest gains. Germany’s DAX index rose 0.36% to 12,390, France’s CAC 40 index added 0.29% to 5,283 and the UK FTSE 100 closed with gains of 0.3% at 7,164.