Daily Report · August 20, 2021

Morning Pulse 20/08/21

  • Federal Reserve on wednesday talked about Tapering bond buying later in the year. Markets fell on the news.
  • But it was kind of expected from the job reports that economy is stabilising and inflation in rapidly increasing so they needed to put out a sentiment.
  • It will be discussed in the Jackson Hole symposium later in the month. we’ll get some clarity there.
  • In India On wednesday due to HDFC bank news, makets opened gap up but couldn’t keep up and fell to close in red.
  • SGX nifty fell approx 350 points on thursday but has recovered half of that along with US Indices.
  • Now, we have to tread lightly as the focus is now shifted to real economic indicators and liquidity pump may be cut anytime soon.
  • China’s economic indicators have fallen short of expected amid Govt crackdown on tech companies. So they are deveraging themselves.
  • Asian markets are down, china, japan , korea all in red.
  • We may also open 150 points plus Gap down in Nifty50. Will have to monitor 1 hour before entering any trade.
SGX Nifty
  • King Dollar is waking up and is at a very important technical neckline. If it confirms the double breakout, we may see Emerging markets weakness.
Dollar Index
  • Copper is also sgnalling a weakness in overall bullish trend in commodities along with steel and other commodities.
Copper Futures
  • Right now, it has taken the support of 200 day moving average, but close below it would trigger major sell.