The Monetary Policy Committee of the Reserve Bank of India (RBI) (MPC) has raised the REPO level by 50 bps to more than 5.4 percent, encouraging it beyond the pre-covid level, to check the increase in inflation, while maintaining the estimated growth and inflation unchanged for FY23.
MPC also decided to remain focused “on withdrawing accommodation to ensure that inflation remains in the target, going forward, while supporting growth”. This shows that the increase in interest rates is likely to continue in future policy meetings, experts said.
The increase in 50 BPS RBI is mostly in line with market expectations. It is very important, with the RBI to maintain the policy attitude” accommodation withdrawal “, the implicit message is that the tariff has not reached a neutral area, and more interest rate increases are the rate of interest rates. What we agreed was, “Aurodeep Nandi, Indian economist and vice president, Nomura, said.
RBI continues to indicate that all options are on the table, which is a wise strategy, given the increase in the level of uncertainty in growth and inflation, said Nandi.
Upasna Bhardwaj, Head of Economists in the Mahindra Bank Box, thought that given the increasing imbalance of the external sector and global uncertainty, the need for the leading actions was very important. “We continued to see the Repo level of 5.75 percent in December 2022.”
The market reversed the loss after moving RBI. BSE Sensex collects 260 points to 58,559 and NIFTY50 rose 66 points to 17,448, at the time of writing this article. The index is near the resistance point 17,450 levels, and experts say if the index gives a good closure above the same and survive, 17,800 cannot be ruled out in the upcoming session. Banking and financial shares, FMCG, IT, Metal and Pharmacy stock support the market.
We have seen a real traction in an automatic space for five months, and Eicher Motors trading in harmony with trends. This has witnessed the escape, lately, after living in the consolidation range of 2,300-3,000 hospitals for one and a half years.
The graphics and buoyancy patterns that apply in the automatic space indicate the trend that applies to continue. Thus, we recommend collecting stock in the RS 3,000-3,100 zone.
Banking and financial shares have contributed significantly to the surge of this new -new market and the indication is that the current trend will continue after a small break.
In line with this view, the federal bank has stopped after escape from the consolidation range, offering a new purchase opportunity. We suggest creating a fresh guide at the RS 104-108 level.
In the NBFC room, Shriram Transport Finance has become one of the best players, after an escape from a triangle pattern. Lately has been withdrawn, and reaches closer to the zone of support for the average short-term transfer zone.
We might see some consolidation around the current level, before the stock continues the trend. We recommend utilizing this phase to accumulate stock in the 1,300-1,350 hospital level.
Stock has begun to form upper and higher formations that are higher on the daily graph. Stocks found support on the long -term tilted trend on the monthly graph and reversed to the north.
Recently has crossed EMA resistance (exponentially moving average) 50 days. One can buy stock in the RS range of 1,101-1,075.
The stock is on the threshold of the highest of all time above RS 553. Above all the most important movements, which show bullish trends on all time frames.
Indicators and oscillators have changed to bullish on the weekly graph. Someone can buy stock in the range of RS 515-500.
The stock price has broken from the resistance of the downward trend line down on the weekly graph. Breakout price is accompanied by rising volumes.
The stock is on the verge of crossing the top double resistance placed in RS 564. has formed upper and higher formation in the weekly graph. Someone can buy stock in the range of RS 560-640.
Phoenix Mills makes the lowest and higher position. This has been in a clear rising trend since the last 6-7 months, and is expected to continue the rising trend.
At present, it has formed an N wave and is expected to touch the 1,480 hospital at the end of 2022. At the front of the indicator, the daily RSI (relative strength index) rebounds from 50 levels, along with the daily MACD (moving average and convergence and divergence). bullish above the zero line. This gives further positive side.
Someone can buy, add and hold stock for RS 1,480 target, with a termination of 1,200 hospital.
Bank Indusind on the daily graph is at the resistance level of RS 1,050-1,070. Also, it has made a pattern of Kandil Harami Bearish near this resistance.
At the front of the indicator, the daily MACD excessively hinted at the loss of momentum. One can sell this near the resistance level, with the target of RS 950 and Stop-Loss from RS 1,100.
At the current point, the stock has taken support near the 185 RS sign, which is also the previous peak made in June 2022.
In addition, support is also a 50 percent retracement of the previous high swing, which starts from the RS 160 level.
Finally but not a few, the doji pattern is formed near the supporting zone. This shows reversed in the near future. Someone can buy this with the target RS 220. Stop-Loss is RS 180.
Stock has provided an escape of the head pattern and shoulder upside down on a daily graph. Prices have moved above EMA 50 days on a daily graph.
RSI is in a bullish crossover. This trend tends to remain positive in the medium term.
Stocks have moved above the previous high swing on the daily graph, showing an increase in optimism. In addition, the price has survived above EMA 50 days in the daily chart.
On the weekly graph, stock has provided consolidation escape. This trend tends to remain positive in the medium term.
Stock has corrected after a decent rally from the level of RS 720. However, the stock is in an upward trend for the medium term.
In addition, the stock has moved above an average of 200 days, which shows long-term bullish. This trend tends to remain positive in the medium term.