Nifty Briefly Touches the Clouds, Then Takes a Dip!

At the close, the Nifty 50 was at 23,501.10 down by 0.28%

The NSE Nifty 50 index commenced the trading session on a positive note but experienced a downturn, closing in the red with a decline of 0.28%. Despite touching a fresh all-time high of 23,667.10, the index gyrated between gains and losses throughout the day, ultimately settling just above 23,500. Indian markets witnessed profit booking on June 21 after six consecutive days of gains, mirroring the weak performance of global equities.

The Indian markets grappled with profit booking amidst concerns over the slow progress of the monsoon, particularly impacting the FMCG sector. However, the consumer durables sector saw an upswing due to the ongoing heatwave in Northern India. Globally, weak guidance from Accenture led to profit booking in US tech stocks, influencing market sentiment.

Despite minor profit booking, the IT sector performed well, buoyed by Accenture’s robust revenue growth forecast. The sector witnessed a nearly one percent rise, reflecting investor confidence in the tech industry’s resilience amidst global uncertainties. Attention now shifts to the upcoming GST meeting, where discussions on potential GST rate rationalization in certain sectors are anticipated.

Investors exhibited a cautious approach, partially booking profits after a six-session rally, particularly amidst weak global cues. While market sentiment was subdued, hopes remain high for a market-friendly Union Budget in July. Investors are eager for measures to stimulate economic activity and bolster the investment cycle, which could potentially reignite market momentum.

In summary, while market volatility persists amidst global uncertainties, the underlying bullish sentiment suggests opportunities for buying on dips. Investors should remain vigilant, closely monitoring both domestic and international developments for informed decision-making in the current market landscape.

Bank Nifty: Down by 0.24%

The BankNifty index and BSE Sensex both navigated a volatile trading session, reflecting the ongoing struggle between buyers and sellers. Despite opening in the green, the BankNifty index closed in the red, recording a decrease of 0.24% to settle at 51,661.45. Similarly, the BSE Sensex also ended the day with a loss, declining by 0.35% to close at 77,209.90.

In the sectorial front, the media sector was the clear winner today, surging by a healthy 0.95%. Leading the charge were PVR Inox Ltd. and Tips Industries Ltd., which gained an impressive 3.42% and 3.39% respectively.

On the flip side, the FMCG (Fast Moving Consumer Goods) sector experienced the biggest losses, dropping 1.20%. Marico Ltd. and Nestle India Ltd. were the biggest losers within this sector, with their share prices falling by 2.94% and 1.90% respectively.

FIIs/FPIs engaged in notable transactions, with a buy value of Rs. 44,523.47 crore and a sale value of Rs. 46,313.66 crore. Consequently, the net value stood at -Rs. 1,790.19 crore, reflecting a net selling trend by foreign investors during this period.

On the other hand, DIIs demonstrated active participation, recording a buy value of Rs. 18,603.77 crore and a sale value of Rs. 17,366.56 crore. This resulted in a positive net value of Rs. 1,237.21 crore, indicating net buying activity by domestic institutional investors.

Bank Nifty

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

The gainers included Bandhan Bank with a 0.30% increase, Kotak Bank with a 0.21% increase, and ICICI Bank with a 0.06% increase.

On the other hand, the biggest losers in the sector included Bank of Baroda with a 1.82% decline, Federal Bank with a 1.29% decline, State Bank of India with a 1.10% decline, Punjab National Bank with a 0.98% decline, and Axis Bank with a 0.60% decline. These results suggest that most of the banking stocks not performed better for the day.

Gold and Silver

Today 22 Carat Gold Price Per Gram in India (INR)

Today 24 Carat Gold Price Per Gram in India (INR)

Today Silver Price 1 Gram/KG in India (INR)

Rupee Recovers Slightly Amidst Mixed Market Sentiment

The Indian rupee displayed some much-needed resilience on Friday, clawing back from a two-month low to settle at 83.55 against the US dollar. This positive shift was driven by two key factors:

• Foreign capital inflows: Increased investment from overseas helped bolster the rupee’s value.
• Falling oil prices: Lower international oil prices eased pressure on India’s import bill, supporting the rupee.

Headwinds Not Completely Blown Away

Despite the gains, the rupee’s journey wasn’t smooth sailing. It faced resistance from:

• A strong US dollar: The American currency’s global dominance kept the rupee under some pressure.
• Domestic market jitters: A subdued mood in Indian stock markets added to the cautious sentiment.

Looking Ahead: A Balancing Act

The future trajectory of the rupee will likely depend on a delicate balance between various forces:

• Foreign investment: Continued foreign capital inflows can be a significant source of support.
• RBI intervention: The Reserve Bank of India’s actions to manage currency fluctuations will be crucial.
• Global oil prices: Lower oil prices can ease pressure on the import bill, benefitting the rupee.
• US dollar strength: The global dominance of the US dollar remains a potential challenge.

The Dollar’s Shadow Still Looms

While the rupee’s recent performance is encouraging, the strong US dollar remains a concern. Investors and businesses should stay informed about global currency trends to navigate potential fluctuations effectively.

Stocks Highlights

Bharti Airtel Ltd. displayed robust performance in recent trading sessions, with its share price rising by 1.64% to reach Rs 1,403.75, up from its previous close of Rs 1,381.15. Notably, the stock witnessed a relatively low intraday decline rate of 1.72% over the last 19 years, signifying its stability in volatile market conditions.

Despite a slight quarter-on-quarter (QoQ) revenue decline of 1.1%, Bharti Airtel Ltd. maintained resilience, marking its lowest revenue decrease in three years. However, investors should take note of recent market signals indicating a potential sell-off. The appearance of a 20-day moving crossover suggests a bearish trend, historically leading to an average price decline of -2.14% within seven days.

In terms of returns, Bharti Airtel Ltd. outperformed the Nifty 100 index, delivering a remarkable 3-year return of 155.77%, compared to the index’s 52.57% return.

UltraTech Cement Ltd. experienced a downturn in its share price, declining by -2.42% to Rs 10,638.80, down from Rs 10,903.20. Despite this, the company demonstrated a relatively low intraday decline rate of 1.49% over the past 19 years, showcasing its stability amidst market fluctuations.

In contrast to Bharti Airtel Ltd., UltraTech Cement Ltd. exhibited robust quarterly performance, witnessing a significant QoQ revenue growth of 21.77%, its highest in three years. However, investors should be cautious as a bearish trend may be looming, indicated by a recent 5-day moving crossover, historically leading to an average price decline of -2.06% within seven days.

UltraTech Cement Ltd.’s 3-year return of 62.14% falls slightly below the Nifty 100 index’s return, which stood at 52.57%.

Advance Decline Ratio

Today, the advance-decline ratio was 0.80, and the market breadth was negative. The volatility index India Vix decreased by 1.03 to settle at 13.21 and the FIIs were net sellers today.

DAILY MARKET ACTION
Advancers – 1166
Decliners – 1451
52Wk High – 197
52Wk Low – 9
High Band Hitters – 99
Low Band Hitters – 42
200d SMA – 21314
50d SMA – 22668
20d SMA – 23062

Top Gainers and Losers Stocks

The top gainers were Bharti Airtel (+1.64%), LTIMindtree (+1.38%), Hindalco (+1.11%), Shriram Finance (+0.80%), and Tata Steel (+0.71%).

The top losers were UltraTech Cement (-2.42%), Adani Enterprises (-2.04%), Larsen & Toubro (-1.96%), Nestle India (-1.90%), and Tata Motors (-1.87%).

Top Gainers and Losers Sectors

The top gainers sector were Media (+0.95%), IT (+0.76%), Consumer Durables (+0.75%), and Metal (+0.40%).

The top losers sector were FMCG (-1.20%), Oil & Gas (-1.07%), Realty (-0.74%), Auto (-0.69%), and Financial Services (-0.19%).

SECTORS – NOTABLE ACTION
MEDIA +0.95%
IT +0.76%
CONSUMER DURABLES +0.75%
PHARMA -1.20%
OIL & GAS -1.07%
REALTY -0.74%

Stocks Ban List

(SEBI) F&O ban list (INDUSTOWER open at +337.75 and close at +336.45), (GNFC open at +766.40 and close at -715.85), (BSOFT open at +696.00 and close at -681.35), (PEL open at +908.50 and close at -886.90), (HAL open at -5298.50 and close at -5170.55), (HINDCOPPER open at +335.00 and close at -331.10), and (BALRAMCHIN open at -442.00 and close at +443.40) are not currently on 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.

ABCAPITAL, PNB, IEX, GMRINFRA, SUNTV, BIOCON, LICHSGFIN, METROPOLIS, ABFRL, IDFCFIRSTB, and IRCTC stocks has the possibilities of entrance in the ban list.

Daily Pivots

As per the above pivots data, 23250 to 23750 is the Nifty 50 trading range.

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