Range break down

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What happened yesterday?             

Indian Market

Indian indices settled in the negative territory for the third consecutive day on Thursday, dragged by the sell-off in the majority of sectors, notably in auto and consumer durable stocks. High valuations and foreign outflows also weighed on investor sentiment.

At close, the BSE Sensex dropped 494.75, or 0.6%, to 81,006.61, while the NSE Nifty 50 slumped 220.40 points, or 0.9%, to 24,750.90.

• Bajaj Auto (NSE:BAJAJ/AUTO, BAJAJ_AUTO) topped the laggards on Thursday, with shares slumping 12%, followed by Shriram Finance SHRIRAMFIN and Nestle India NESTLEIND.

• Conversely, Infosys INFY, Tech Mahindra TECHM and Power Grid Corp. of India POWERGRID were the top gainers.

• In corporate news, GE T&D India (NSE:GET&D, GET_D) has changed its name to GE Vernova T&D India with effect from Wednesday.

• Meanwhile, APL Apollo Tubes APLAPOLLO has raised 1 billion Indian rupees from the issue of commercial papers.

FII net sold for -7,421.40 crores

DII net bought for +4979.83 crores

US Market

The Dow Jones Industrial Average advanced on Thursday to its fourth record close in the last five sessions, as stronger-than-expected monthly retail sales indicated a robust U.S. consumer and TSMC's upbeat forecast buoyed chipmakers' stocks. 

The S&P 500 SPX lost 1.00 points, or 0.02%, at 5,841.47 points, while the Nasdaq Composite IXIC climbed 6.53 points, or 0.04%, to 18,373.61. The Dow Jones Industrial Average DJI rose 161.35 points, or 0.37%, to 43,239.05.

• Taiwan Semiconductor Manufacturing Co, the world's largest contract chipmaker, beat market estimates for profit and forecast a jump in fourth-quarter revenue, driven by demand for artificial intelligence chips. The chipmaker's U.S.-listed shares soared 9.8%, while artificial intelligence-trade favorite and TSMC customer Nvidia NVDA gained 0.9%.

• U.S. retail sales increased 0.4% in September, slightly more than expected, while weekly jobless claims fell unexpectedly.

• One other quirk is that U.S. equity benchmarks have advanced in recent days even as U.S. Treasury yields have crept up. On Thursday, the benchmark 10-year note yield (US10YT=TWEB) rose 7.5 basis points to 4.091%.

• In earnings-related moves, Travelers Companies TRV and Blackstone Group BX advanced 9% and 6.3%, respectively, to record closing highs after both the insurer and the money manager posted third-quarter profit which beat market expectations.

• Outside financials, health insurer Elevance Health ELV plummeted 10.6%, its biggest one-day drop since the start of the pandemic in March 2020, after slashing its full-year profit forecast.

• Volume on U.S. exchanges was 11.34 billion shares, compared with the 12.08 billion average for the full session over the last 20 trading days.

• Gold gained 0.6% to $2,706.80 per troy ounce, while silver dropped 0.3% to $31.87 per ounce. 

• West Texas Intermediate crude oil rose 0.5% to $70.75 a barrel Thursday. 

What to expect today?   

• Asian market trading in mixed way where Japan in +0.23% and Hong Kong +0.66%
  US Futures trading flat +0.01%

• GIFT NIFTY trading  at -0.47%, down by 117 points

• All the factors indicating a flat to gap down opening in the market.

NIFTY Technicals

In NIFTY high amount of call OI at 23,500 and put OI at 26000, PCR at 0.57. NIFTY FUT indicating LONG UNWINDING. And in case of BANKNIFTY, PCR stays at 0.67 and FUT with SHORT BUILDUP.

The range breakdown was really hard to see, pushes down 170 points. Both NIFTY spot and FUT broke a trendline where its low stays at 23,350 which is really hard for NIFTY. Current weekly candle breaks the previous weekly candle low in FUT not in SPOT so today can be crucial. (watchout SEP LOW).

A close above 24,951 in 1HR will only pushes NIFTY to more heights.

INDIA VIX rose to 13.3875

 All the best for the day.