At the close, the Nifty 50 was at 19,979.15 up by 0.74%
In an impressive display of strength, Indian equity indices continued their upward trajectory, notching the sixth consecutive session of gains and reaching yet another remarkable all-time high. Today, the NSE Nifty 50 commenced with a modest start but swiftly gained momentum, closing in the positive territory with a notable 0.74 percent increase, breaching the 19,950 mark.
The prevailing market sentiment is overwhelmingly buoyed by unwavering support from foreign investors, setting the stage for the benchmark Nifty to potentially surpass the coveted 20,000 level soon.
From a technical perspective, the index’s value remains comfortably above the critical moving average, underscoring the positive trend. Moreover, the RSI indicator presents a bullish crossover, further reinforcing the potential market strength. As we look ahead in the short term, the index is expected to maintain its positive trajectory. However, investors should closely monitor the 20,000 level, as a failure to breach it might prompt some profit-taking activities.
Bank Nifty: Up by 1.13%
The Bank Nifty also experienced a robust start, advancing by an impressive 1.13 percent and eventually closing in the green at 46,186.90. Similarly, the BSE Sensex witnessed notable gains, rising by 0.71 percent to attain a new high of 67,571.90.
Driving this surge in the market are prominent heavyweights like RIL & ITC, unlocking their value and boosting the main indices. Moreover, the anticipation of strong Q1 results from banks is providing an additional impetus for the upward momentum, propelling the indices to new highs. Despite mixed cues from global peers, the domestic market remains resilient, bolstered by consistent inflows from FIIs, who have unwavering confidence in the prospects of the Indian economy.
As investors look to capitalize on these developments, it becomes evident that staying attuned to the market’s prevailing trends is crucial for making informed decisions and maximizing gains in the current environment.
The Nifty Banking sector had some gainers and some losers for the day.
The gainers included Kotak Bank with a 2.62% increase, ICICI Bank with a 2.19% increase, State Bank of India with a 1.42% increase, Axis Bank with a 1.32% increase, and Federal Bank with a 0.63% increase. On the other hand, the biggest losers in the sector included Bandhan Bank with a 1.28% decline, Punjab National Bank with a 0.62% decline, Bank of Baroda with a 0.50% decline, and IDFC First Bank with a 0.37% decline. These results suggest that some banking stocks performed better for the day.
The much-anticipated Q1 results of the IT major, Infosys, are scheduled to be announced post market hours on Thursday. Analysts are optimistic, projecting a profit growth of 14-18% on a Year-on-Year basis. However, sequential growth in Profit After Tax is expected to be around 3%, with an estimated range of Rs 6100 to Rs 6300 crore. Despite this, muted revenue growth is anticipated due to project cancellations. Average estimates indicate a conservative 1% QoQ increase and a healthier 10% YoY growth in revenue. Nevertheless, Infosys’ operating margin may encounter a slight decline of 100 bps, primarily due to the impact of a muted revenue performance and the effects of a wage hike. Investors eagerly await the results to gauge the company’s performance in the current market landscape.
Foreign Institutional Investors (FII)/Foreign Portfolio Investors (FPI) made significant transactions in the market, with a buy value of 11,423.73 (Rs. Cr.) and a sale value of 8,052.83 (Rs. Cr.). The net value of their activities resulted in a positive gain of 3,370.90 (Rs. Cr.).
Simultaneously, Domestic Institutional Investors (DII) also actively participated in the market. Their buy value was 8,102.27 (Rs. Cr.), while the sale value was 8,295.29 (Rs. Cr.). However, their net value showed a negative difference of -193.02 (Rs. Cr.).
ITC Ltd. witnessed a significant uptick in its share price, soaring by 2.64% from its previous close at Rs 478.85. The stock’s last traded price settled at Rs 491.50, reflecting the company’s robust performance in the market. Notably, investors who held ITC Ltd. shares over the past three years enjoyed remarkable returns of 148.5%, surpassing the Nifty 100’s return of 77.5%.
The company’s consistent growth is evident in its annual revenue, which exhibited an impressive growth rate of 16.66%. This performance has even outpaced its three-year CAGR of 11.8%, underlining the strength and stability of ITC Ltd. as an investment choice.
“On the other hand, Infosys Ltd. Experiences Minor Dip in Share Price by -2.18%”
Infosys Ltd. encountered a slight decline in its share price, showing a dip of -2.18% from the previous close at Rs 1,474.95. However, the stock’s last traded price stood at Rs 1,442.75, indicating a potential opportunity for investors to enter the market at a more favorable valuation. Despite this short-term fluctuation, the company’s performance over the past three years has yielded a respectable return of 57.87%.
In the Pharma sector, notable gains were observed, with Natco Pharma Limited achieving an impressive 5.13% increase and Gland Pharma Limited securing a commendable 3.86% rise. Conversely, the IT sector faced a modest setback, declining by 0.66%. Within this segment, Infosys Limited experienced a -2.18% dip in its share price, while Coforge Limited witnessed a -1.66% decline.
As investors analyze market movements and seek strategic opportunities, staying abreast of stock performances and sectorial trends becomes crucial for making informed decisions that align with their investment objectives.
Advance Decline Ratio
Today, the advance-decline ratio was 1.17, and the market breadth was positive. The volatility index India Vix increased by 1.59 percent to settle at 11.79 and the FIIs were net buyers today.
DAILY MARKET ACTION
Advancers – 5700
Decliners – 4884
52Wk High – 145
52Wk Low – 12
High Band Hitters – 74
Low Band Hitters – 38
200d SMA – 18090
50d SMA – 18840
20d SMA – 19324
Top Gainers and Losers Stocks
The top gainers were ITC (+2.64%), Kotak Bank (+2.62%), ICICI Bank (+2.19%), Dr. Reddy (+1.97%), and Grasim (+1.89%).
The top losers were Infosys (-2.18%), UltraTech Cement (-1.25%), Bajaj Finserv (-0.61%), Eicher Motors (-0.60%), and Britannia (-0.41%).
Top Gainers and Losers Sector
The top gainers sectors were Pharma (+1.46%), FMCG (+1.35%), Financial Services (+1.02%), Oil & Gas (+0.65%), and Auto (+0.41%).
The top losers sectors were IT (-0.66%), and Consumer Durables (-0.18%).
The Nifty Midcap 50 was up by 0.20 percent, while the Nifty Small Cap 50 was up by 0.33 percent on the day.
The Nifty Midcap 50 index currently closed at 10,476.25, while the Nifty Small Cap 50 index currently closed at 5,150.25.
SECTORS – NOTABLE ACTION
FINANCIAL SERVICES +1.02%
CONSUMER DURABLES -0.18%
Stocks Ban List
(SEBI) F&O ban list (DELTACORP open at +189.50 and close at +189.55), (POLYCAB open at +4307.90 and close at +4717.35), (L&TFH open at +137.95 and close at -131.15), (IBULHSGFIN open at +121.90 and close at +123.55), (RBLBANK open at -214.20 and close at +219.65), and (MANAPPURAM open at -126.15 and close at +126.35) are not currently on the stock exchange.
The Securities and Exchange Board of India (SEBI) has banned DELTACORP, POLYCAB, L&TFH, IBULHSGFIN, RBLBANK, and MANAPPURAM from trading in the futures and options (F&O) segment of the stock exchange.
A stock enters the Ban List if its MWPL is above 95%. Implying that, Ban List shows the Futures and Options (FnO ) stocks whose combined open interest in all FnO contracts for a given period crosses 95% of Market-Wide Position Limit.
PNB, ZEEL, BHEL, BALRAMCHIN, INDIACEM, CANBK, LICHSGFIN, GNFC, GRANULES, TATACHEM, and INDUSTOWER are stock that are potentially facing the possibility of being included in the ban list.
MANAPPURAM has the possibilities of exit from ban list.
As per the above pivots data, 19820 to 20070 is the Nifty 50 trading range.
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This article is only for educational purposes and is not an investment advice.