The global markets were surprised yesterday when Donald Trump reversed his tariff decision on China. This big change brought energy back into the stock markets with a massive rally. In this post, we share expert views on what this means for India’s Nifty index and the overall market.

---

Global Market Reaction

When a global superpower like the US changes its trade policy overnight, the effects ripple worldwide. Trump had earlier raised tariffs on China by 125%, causing panic in global markets. But with this reversal, investor confidence came rushing back, leading to the biggest US market rally since 2008.

This emotional response wasn’t just about the tariffs — it signaled hope. A sign that maybe, just maybe, the worst is over.

If you look at the charts, both in India and globally, a rally has been forming over the past few days. But this doesn’t automatically mean that a long-term bull market has begun. Kedia notes that we must wait and watch how the market behaves post-gap-up. Only a strong follow-through will confirm if this rally is real.

Still, he doesn’t rule out the possibility of a big rally.

“If the structure holds, Nifty may reach 24,000 or even 25,000,” he said.

---

🏦 Domestic Factors at Play

It’s not just Trump’s announcement that’s influencing the Indian market. There are internal factors too:

1. Government spending is improving.
2. Credit growth is picking up.
3. RBI has eased liquidity conditions.
4. The US dollar is weakening, attracting more funds into emerging markets like India.

All these trends suggest that India’s market was already on the road to recovery, and the Trump reversal just gave it a push.

Big rally in global markets.

Gift Nifty indicating opening above 23300 tomorrow.

Nifty resistance levels for tomorrow.

Immediate resistance at 22916 (20 Day EMA)

Major resistance at 23240 (20 W EMA)

Where are you expecting the closing tomorrow? pic.twitter.com/7WJ7rFcM0L

— CMA Gurvinder Malhotra (@cmagurvinder) April 10, 2025

---

🧠 Expert Opinion – Sushil Kedia

Market expert Sushil Kedia shared his views on CNBC.

“We don’t trade gap-ups or gap-downs. When there is no conflict or contradiction, that sentiment usually doesn’t last.”

He believes:

• Gap-ups formed without a struggle are weak.
• Market should be watched carefully after the initial jump.
• If the market pulls back after the rally, it may be a good time to buy fresh positions.

---

🔍 Nifty Predictions: 24,000 to 25,000?

Sushil Kedia also hinted:

“There is a chance Nifty may go up to 24,000 or even 25,000 if the rally continues.”

But he warned that this prediction depends on market behavior in the next few days. The rally will need strong support, especially from Bank Nifty and financial stocks.

Nifty has fallen over 16% over last few months

---

🧮 Domestic Factors: Not Just About Trump

Analyst Mahesh shared another angle:

• Indian markets were already weak before Trump’s news.
• Problems like low government spending, tight liquidity, and poor credit growth had already pulled the market down.
• These issues are now improving, and the foundation for a good recovery is being built.

---

🧪 Sector Insights: Pharma, IT & Metals

🔬 Pharma

• Some companies won’t be affected by US-China tensions.
• But those exporting generics to the US might face challenges.

💻 IT Services

• Demand is stable but not growing fast.
• The US market uncertainty could slow new deals.

🏗️ Metals

• Global demand is low.
• Not many Indian companies are expanding capacity.

---

🇨🇳 China Factor: Long-Term Impact?

Experts believe China may be facing a deeper economic problem.

“Just like Russia once sold at below-cost prices for 20 years, China may be doing the same. It may seem strong now, but it could collapse from within in the coming years.”

This gives India a big opportunity in the long run.

---

📊 Buy & Sell Ideas After the Gap-Up

✔️ Buy Sectors

• IT Stocks: Show signs of a big rally.
• Auto Ancillaries: Stable and growing in India.

❌ Sell Sectors

• Private Banks like Kotak and ICICI: May face shorting pressure after a rise.

---

🔚 Conclusion

Trump’s surprise move has shaken global markets. But the Indian market’s future depends on more than just US policy. If the gap-up leads to a strong pullback, smart investors may find new buying opportunities.

Keep watching charts, follow expert views, and focus on stock-specific strategies—not just the news.

---

💬 What’s Your View?

Do you think this rally will last?
Are you planning to buy or stay cautious?
Drop your thoughts in the comments! 👇