Selling Pressure Continues in Nifty

At the close, the Nifty 50 was at 17,321.90 down by 0.74%

Nifty 50 starts the day with a low opening and closes in the red, it generally means that the overall sentiment in the market is negative, and investors are selling more than they are buying. A decline of 0.74 percent is considered a significant movement in the stock market, and it can be influenced by a variety of factors such as economic indicators, corporate earnings, global events, and investor sentiment.

Bearish candlestick pattern has formed on the daily chart. The pattern is characterized by a long bearish candlestick that completely engulfs the previous session’s bullish candlestick. This indicates that the bullish momentum from the previous session has been completely overwhelmed by selling pressure, resulting in a significant downward move.

This pattern is often seen as a signal of weakness in the market, suggesting that the recent upside bounce lacks strength and is unlikely to continue in the short term. Traders and investors may interpret this as a bearish signal, and may look for opportunities to sell or short the market.

Buzzing

Adani Group shares performed well despite the news of an impending SEBI investigation. This may suggest that the market participants are confident about the long-term prospects of the company, and are willing to overlook the near-term uncertainties.

SEBI investigation could potentially have significant consequences for the company, depending on the outcome of the probe. If the allegations of share manipulation and other violations are found to be true, it could lead to regulatory action and negative sentiment in the market.

Indian rupee depreciated against the US dollar on Thursday, closing at 82.60 (provisional), which represents an 11 paise decline from the previous day’s close. The depreciation was attributed to a stronger US dollar in the overseas market and a muted trend in domestic equities, which weighed on investor sentiments.

A stronger US dollar in the overseas market can make Indian exports more expensive, which can hurt the country’s trade balance and put pressure on the rupee. Meanwhile, a muted trend in domestic equities can lead to lower investor confidence and reduced foreign investment inflows, which can also impact the currency.

Bank Nifty: Down by 0.76%

The Bank Nifty opened in the red and closed 0.76% lower at 40,389.80. Similarly, the BSE Sensex experienced a 0.84% decline, closing at a low of 58,909.35. This marked a disappointing end to the trading session, with both indices closing in the red.

The overall market trend was bearish, as 11 out of 13 major sectoral indexes fell. The two sectors that lost the most were financials and information technology, with the former losing 0.85% and the latter shedding 1.26%.

Sectoral indexes are an important tool for analyzing the performance of different industries within the stock market. They track the performance of a group of companies that operate within a particular sector, and are often used by investors to identify trends and opportunities within specific industries.

Bank Nifty

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

Today, no one has made any gains. On the other hand, the biggest losers in the sector included Axis Bank with a 2.44% decline, Kotak Bank with a 1.44% decline, Punjab National Bank with a 1.00% decline, IDFC First Bank with a 0.99% decline and HDFC Bank with a 0.89% decline. The results imply that certain banking stocks did not have a better performance for the day.

Advance Decline Ratio

Today, the advance-decline ratio was 0.75, and the market breadth was negative. The volatility index India Vix decreased by 0.19 percent to settle at 12.97 and the FIIs were net buyers today.

DAILY MARKET ACTION
Advancers – 960
Decliners – 1282
52Wk High –  21
52Wk Low – 63
High Band Hitters – 81
Low Band Hitters – 33
200d SMA – 17390
50d SMA – 17868
20d SMA – 17717

Top Gainers and Losers Stocks

The top gainers were Adani Ports (+3.06%), Coal India (+1.87%), BPCL (+1.77%), Adani Enterprises (+1.52%), and Hero MotoCorp (+1.39%).

The top losers were Maruti (-2.60%), Axis Bank (-2.44%), TCS (-1.82%), Tech Mahindra (-1.63%), and Infosys (-1.62%).

Top Gainers and Losers Sector

The top gainers sectors were Realty (+2.06%), and Oil & Gas (+0.03%).

The top losers sectors were IT (-1.26%), Auto (-0.86%), Financial Services (-0.85%), Consumer Durables (-0.60%), and Media (-0.53%).

The Nifty Midcap 50 was down by 0.22 percent, while the Nifty Small Cap 50 was down by 0.17 percent on the day.

The Nifty Midcap 50 index currently closed at 8,549.00, while the Nifty Small Cap 50 index currently closed at 4,174.65.

SECTORS – NOTABLE ACTION
REALTY +2.06%
OIL & GAS +0.03%
IT -1.26%
AUTO -0.86%
FINANCIAL SERVICES -0.85%

Stocks Ban List

F&O ban, Securities and Exchange Board of India (SEBI) has not put any stocks under the F&O ban for the current trading day.

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.

IBULHSGFIN has a possibilites of entery in a ban list.

Daily Pivots

As per the above pivots data, 17260 to 17420 is the Nifty 50 trading range.

Read previous -Daily Insights- here
Market Rebounds: Green Finally Appears After 8 Days
Nifty Suffers Eighth Consecutive Session of Decline Today
Nifty 50 Closes in RED for Sixth Consecutive Day

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