Friday Market Boost: Nifty Reclaims 18,000 Mark

At the close, the Nifty 50 was at 18,065.00 up by 0.84%

NSE Nifty 50 began its trading journey on a positive note, soaring to new heights with an impressive gain of 0.84 percent. As the day progressed, this upward momentum continued, culminating in a vibrant and optimistic closing that saw the Nifty end the day on a green note. It is noteworthy that the Nifty index has now crossed the milestone of 18000, signifying a remarkable achievement in the world of finance and economics. Overall, this has been a day of great success for the NSE Nifty 50, with a strong performance that speaks volumes about its potential for continued growth and prosperity in the days ahead.

The Indian stock market showed a muted performance in the morning of Friday, with IT stocks seeing some gains while heavyweight financials took a hit following Axis Bank’s quarterly results. The financial sector witnessed a decline of over 0.5%, with Axis Bank Ltd. being a major contributor to the drop. The private lender’s stock plummeted by over 2% after revealing a higher-than-anticipated one-time loss in the fourth quarter, primarily due to expenses related to its $1.41 billion Citi deal. Despite this setback, IT stocks were able to offer some respite to the market with their upward trend.

As of 28th April 2023, the Foreign Institutional Investors/Foreign Portfolio Investors (FII/FPI) recorded a net value of Rs. 3,304.32 Cr., with a buy value of Rs. 13,577.29 Cr. and a sale value of Rs. 10,272.97 Cr. On the other hand, Domestic Institutional Investors (DII) recorded a net value of Rs. 264.27 Cr., with a buy value of Rs. 6,319.21 Cr. and a sale value of Rs. 6,054.94 Cr. This data highlights the ongoing investment activities of both foreign and domestic investors in the Indian market.

Bank Nifty: Up by 0.54%

Bank Nifty index started on a positive note, opening in the green with a remarkable gain of 0.54 percent. The momentum only picked up from there, leading to a buoyant and prosperous closing that saw the Bank Nifty index ending the day in the green, with a closing value of 43,233.90. Similarly, the BSE Sensex witnessed a strong surge in its fortunes, gaining an impressive 0.76 percent and closing on a high note at 61,112.44. This performance is a testament to the resilience and potential of these indices, and a strong indication of the overall growth and prosperity of the Indian economy.

Out of the 13 major sectoral indexes, seven showed an upward trend, with the information technology and public sector banks leading the pack with gains of over 1%. Wipro Ltd. was a major contributor to the IT index’s positive performance, with a rise of over 3% after announcing a buyback worth 120 billion Rupees. Despite posting a slight dip in net profit in the March quarter, the IT firm’s move was well-received by the market, and helped to boost investor sentiment.

Bank Nifty

The Nifty Banking sector had some gainers and some losers for the day.

The gainers included IDFC First Bank with a 4.29% increase, Punjab National Bank with a 3.77% increase, AU Bank with a 2.88% increase, State Bank of India with a 2.01% increase and Bank of Baroda with a 1.37% increase. On the other hand, the biggest losers in the sector included Axis Bank with a 2.43% decline. These results suggest that some banking stocks performed better for the day.

Buzzing

Today’s trading session witnessed a strong and sustained upward momentum in the Nifty index, as indicated by the formation of a long green candle with a minor lower shadow. With the index crossing the significant milestone of 18,000, market analysts predict a formation of a new higher top, thus indicating a bullish trend. Moreover, the weekly chart witnessed a negation of last week’s bearish engulfing candle pattern, further adding to the positive sentiment. The daily charts also show the momentum oscillator RSI (14) reaching a reading of 70, which is now in the overbought zone, indicating a strong upward momentum.

Axis Bank has ample capital to withstand the loss it incurred in the fourth quarter, primarily resulting from an asset write-down related to its Citigroup deal. The Indian private lender had closed a $1.4 billion deal to acquire Citigroup Inc.’s consumer and non-banking finance businesses in March, following which it wrote off goodwill and intangibles generated on the acquisition. Despite this setback, S&P Global Ratings has expressed confidence in the bank’s capital reserves and its ability to weather the impact of the write-down.

Buzz

Adani Enterprises Ltd.‘s stock has outperformed the Nifty 100, delivering an impressive return of 1230.26% over the past 3 years, compared to the index’s return of 86.49%. In today’s trading session, the stock witnessed a 3.88% increase from its previous closing price of Rs 1,853.05, reaching a last traded price of Rs 1,924.95. With this surge in the stock price, investors can expect Adani Enterprises Ltd. to continue its growth trajectory in the near future.

The surge in the Indian markets can be largely attributed to the recent rebound in the US markets. However, the earnings so far have yielded mixed results, making the overall outlook uncertain. To sustain this momentum, it is imperative for other key sectors like energy and IT pack to continue their recovery. Keeping a close eye on these sectors and their performance will be crucial in determining the market’s trajectory in the coming days.

Advance Decline Ratio

Today, the advance-decline ratio was 1.88, and the market breadth was positive. The volatility index India Vix decreased by 4.17 percent to settle at 10.95 and the FIIs were net buyers today.

DAILY MARKET ACTION
Advancers – 1478
Decliners – 788
52Wk High –  66
52Wk Low – 9
High Band Hitters – 70
Low Band Hitters – 37
200d SMA – 17647
50d SMA – 17508
20d SMA – 17624

Top Gainers and Losers Stocks

The top gainers were Adani Enterprises (+3.72%), Adani Ports (+3.22%), Nestle India (+2.85%), Wipro (+2.75%), and Britannia (+2.66%).

The top losers were Axis Bank (-2.43%), Titan (-0.99%), ONGC (-0.84%), JSW Steel (-0.75%), and Cipla (-0.55%).

Top Gainers and Losers Sector

The top gainers sectors were Media (+1.81%), IT (+1.29%), FMCG (+0.96%), Auto (+0.90%), and Oil & Gas (+0.86%).

The top losers sectors were Consumer Durables (-0.31%).

The Nifty Midcap 50 was up by 1.10 percent, while the Nifty Small Cap 50 was up by 1.06 percent on the day.

The Nifty Midcap 50 index currently closed at 8,962.85, while the Nifty Small Cap 50 index currently closed at 4,436.25.

SECTORS – NOTABLE ACTION
MEDIA +1.81%
IT +1.29%
FMCG +0.96%
CONSUMER DURABLES -0.31%

Stocks Ban List

The Securities and Exchange Board of India (SEBI) has not listed any stocks in the ban list for Futures and Options (F&O) trading today. This indicates that there are no restrictions on F&O trading for any stocks in the Indian market as of now.

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.

Daily Pivots

As per the above pivots data, 17930 to 18150 is the Nifty 50 trading range.

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NSE Nifty 50 Starts Strong, Surges 0.57% & Closes Above 17900 Mark
NSE Nifty50 Recovers from Gap Down Opening to Close with Gains
Indian Equity Benchmark Closes Positively Amidst Volatility

This article is only for educational purposes and is not an investment advice.