A morning walk down Dalal Street | Market likely to consolidate before next leg of rally

Indian markets witnessed selling pressure in the second half of the trading session on Thursday. The S&P BSE Sensex slipped nearly 200 points while Nifty50 closed below 11,400 levels.

Falling rupee remains a concern for investors which ended at 70.16 a dollar, down 0.38 percent, from its Tuesday’s close of 69.89. The currency opened at 70.25 and touched an all-time low of 70.39 a dollar. 
Deepening economic crisis in turkey, escalating trade war fears as well as strength in US Dollar pushed markets as well as currencies across the globe in a tail spin. 

We could see some respite on Friday after media reports suggest that China will hold a fresh round of trade talks with the United States in Washington later this month, Beijing said on Thursday – Reuters reported.

The talks might offer a glimmer of hope for progress in resolving a conflict that has set world financial markets on edge. 

For Friday, 11366 will act as immediate support for the index while immediate resistance is placed at 11,400 levels.

The market is likely to consolidate before the index kicks off next leg of the rally. 

Overall, short term target on the upside is at 11640, suggest experts.

On the institutional activity front, FPI sold Rs 825 crore worth of Indian shares while DII bought Rs 133 crore worth of shares, provisional data showed.