IndexPriceChange% Chg
NIFTY 5017656.3574.400.42%
NIFTY BANK41122.75182.150.44%
BSE SENSEX59543.96287.700.48%
Daily closing price, change and % change of benchmark indices.

Uncertainty and Volatility

Benchmark Index gave up all gains of Muhurat Trading Session

Uncertainty and volatility persist on bourses as after rising nearly 1% in Muhurat trading session on 24-Oct 2022, the benchmark indices gave up all gains and after a seven-day winning streak the Nifty 50 Nifty fell 74.40 points to close at 17,656.35 on Tuesday, 25-Oct-2022.

Reliance Industries was the biggest drag on the benchmark because of lacklustre Q2 results. However, during Muhurat trading session on Monday, 24-Oct-2022, the Reliance Industries RIL share price rose by over one per cent as the company had announced that its shareholders will get one share of Jio Financial Services for every one share of RIL.

The NSE Nifty 50 failed to hold on the early gains, mostly because of Asian market cues and foreign fund outflows. During the day, it hit a high of 17811 and a low of 17637.

Nifty 50 Renko chart - Limited upside potential
Nifty 50 – Renko Chart – uptrend is intact though with limited upside

The advance-decline ratio was 0.59, and the market breadth was negative. The volatility index India Vix, on the other hand, further decreased 3.11 percent to settle at 16.88. This is a lowest reading of volatility index in last one month. The FIIs were net sellers today and the DII’s, as has been the case for past few trading sessions, were the net buyers.

Advancers – 806
Decliners 1364
52Wk High
52Wk Low 26
High Band Hitters
Low Band Hitters 06
200d SMA 16995
50d SMA – 17504
20d SMA – 17249

Uncertainty and Volatility –Top Gainers and Losers

The top gainers were Tech Mahindra (+3.32%), Maruti (+2.79%), JSW Steel (+2.33%), LT (+1.85%), and Eicher Motors (+1.67%),.

The top losers were Britannia (-2.81%), Kotak Bank (-2.71%), Hindustan Unilever (+2.69%), Nestlé India (-2.64%), and Bajaj Finserv (-2.63%).

Sectors & Broader Indices

The top gainers were Auto (+1.24%), IT (+0.66%), Metal (+0.40%), Pharma (+0.39%), and Oil & Gas (+0.31%).

The top losers were FMCG (-1.03%), Financial Services (-0.78%), Realty (-0.62%), Media (-0.54%), and Consumer Durables (+0.50%).

Among NSE sectoral indices, FMCG fell 1.03 per cent, financial services went lower by 0.78 per cent, realty declined 0.62 per cent and consumer durables lost 0.50 per cent. Among the gainers were auto, IT, and metal. Further, the NSE Small cap dipped 0.45 percent, while the Mid cap index climbed 0.47 percent.

AUTO +1.24%
IT +0.66%
METAL +0.40%
FMCG -1.03%
REALTY -0.62%

Daily Pivots

Daily Nifty Pivots

As noted in earlier blog, the Nifty was trading in box range of 16800-17400 for past few sessions, which it has broken today on the higher side. This is positive for the overall trend in the market. Trading range for tomorrow is 17600 – 17770 with positive bias.

After initial positive response to the quarterly earning reports, it looks like the market focus has now shifted back to the policy announcement and hopes of rate hikes easing.

The uptrend is intact in the above Renko chart, though upside potential appears limited as the Nifty 50 is nearing its resistance zone of 18000 – 18100.

The consolidation phase may continue for some more time before more clarity emerges on the horizon. The Nifty 50s closing price is above the 20-day, 50-day and 200-day moving average, showing positive sentiments.

Read previous -Daily Insights- here
UK U-Turn boosts Market Sentiments
Nifty Zoomed
Rising Inflation Spooks Market Sentiments

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