Investors had hoped that Draghi would announce some form of new action after his promise last week that ECB would do "whatever it takes" to preserve the euro and all the Global stock markets showed good rally also after his positive announcement but investors were disappointed by European Central Bank president.
In absence of an explicit commitment, borrowing costs in Spain and Italy moved higher yesterday. Spain's 10-year yield rose back above 7%, while Italy's 10-year yield moved above 6%.
Indian markets Outlook after Mario Draghi's failure
Weak opening is confirm after dampned Global sentiments. As Nifty traded between 5210-5246 with both lower levels consolidations and higher levels selling therefore sustaining below 5210 should be firstly watched amid most depressed sentiments today morning. Today intraday moves will be the impact of weak sentiments also therefore firstly today intraday charts patterns formations should be watched because both following possibilities are alive:-
1- Fresh selling after disappointing sentiments or
2- Lower levels again consolidations after last 2 sessions.
Next Monday markets will be free from depressing mood and next trend final confirmation will be sustaining beyond 5200-5250.