India’s benchmark stock indexes closed lower on Friday as investors booked profits after a week in which blue-chip indexes hit record highs. Nifty 50 fell 0.14% to 26,179 points and BSE Sensex fell 0.3% to 85,571 points.
Both indexes recorded weekly gains, with Nifty up 1.5% and Sensex 1.2%, marking the third straight week of gains.
Here’s how analysts take the pulse on the market.
“Nifty has taken a breather after several days of continuous gains. Sentiment remains strong as the index remains above key moving averages. This strength is likely to continue as long as it remains above 25,900 On the highs, if the fresh Nifty rises above 26,300, it could move towards 26,600,” said Rupak De of LKP Securities.
Hrishikesh Yedve of Asit C Mehta Investment Intermediates says, “Technically, the index on a daily scale forms a small red candlestick and the index on a weekly scale forms a large green candlestick. The index on a weekly scale has managed to rise.” It has closed above the breakout of the ascending channel pattern and as long as the Nifty maintains the breakout level of 26,000 in the short term, a ‘buy on the push’ strategy should be adopted. Short-term goals for the index. ”
That being said, here’s what some key indicators are hinting at how the US market will move on Monday.
The blue-chip Dow Jones Industrial Average closed at an all-time high, with small-cap stocks also rising and the wall rising as expectations for further interest rate cuts from the US Federal Reserve rose following a lackluster inflation report. The city’s three major indexes recorded gains for the week.
The technology-heavy Nasdaq fell on the day and the S&P 500 fell slightly, but both indexes remained near recent highs.
The Dow Jones Industrial Average rose 0.33% to $42,313, the S&P 500 fell 0.13% to $5,738, and the Nasdaq Composite Index fell 0.39% to $18,119.
European stocks:
Europe’s STOXX 600 stock index closed at a record high on Friday, with China-exposed companies and sectors continuing to rise after the Chinese government announced a massive stimulus package this week, with the biggest gainers Included were high-end companies.
The pan-European STOXX 600 index ended 0.5% higher at 528.08, taking its gain this week to more than 2%. Luxury companies LVMH and Richemont rose 3.7% and 2.7%, respectively.
Tech view: small negative candle
The Nifty50 index formed a small negative candlestick on the daily chart at a new high, indicating a breather type pattern after the top break. As has happened in the past, the market is expected to move within a range for a few sessions before witnessing another break to the upside.
On the weekly chart, a long bull candlestick was formed for the third time in a row. Technically, this weekly market movement is indicative of a bullish “Three Soldiers Forward” type pattern indicating a continuation of the uptrend.
The short-term uptrend in the market is sustained and Nifty may eventually rebound after consolidation in the next few sessions. According to Nagaraj Shetty of HDFC Securities, immediate support is at 25,900 shares.
In the open interest (OI) data, the highest OI on the call side was observed at strike prices of 26,200 and 26,300, while on the put side, the highest OI was at strike price of 26,200, followed by 26,100.
Stocks showing bullish bias:
Momentum indicator Moving Average Convergence Divergence (MACD) showed bullish trading in counters like BPCL, SJVN, Phillips Carbon, Brigade Enterprises, Sundaram Finance, Amara Raja Energy & Mobility.
The MACD is known to signal a trend reversal in a traded security or index. When the MACD crosses the signal line, it is a bullish signal, indicating that the security’s price may rise and vice versa.
Stocks that suggest future weakness:
The MACD showed bearish signs on counters like Balkrishna Industries, Kufin Technologies, Jubilant Foods, M&M Financial, Nuboco Vistas Corporation and BEML, among others. A bearish crossover in the MACD of these counters indicates that the downward journey has just begun.
Most active stocks by value:
Trent (Rs. 8,758 billion), Divi’s Labs (Rs. 3,752 billion), LTIMindtree (Rs. 3,236 billion), Infosys (Rs. 2,872 billion), NTPC (Rs. 2,356 billion), Jio Financial Services (Rs. 2,205 billion), M&M (Rs. 2,167 billion). ) 1 billion) was one of the most active stocks on the NSE in terms of value. The higher the trading volume of the counters, the more useful it is to identify the counters with the highest trading volume for the day.
Most active stocks based on volume:
Vodafone Idea (Traded Shares: 112.2 Billion), Shree Renuka Sugars (Traded Shares: 25.3 Billion), Easy Trip Planners (Traded Shares: 12 Billion), Canara Bank (Traded Shares: 11.8 Billion), YES Bank (Traded Shares: 6.4 Billion) ) ), Jio Financial Services (shares traded: 6.1 billion), Zomato (shares traded: 5.9 billion) were among the most traded stocks of the session on NSE.
Stocks people are interested in buying:
Among others, the stock prices of Ballampur Chini, BPCL, Bombay Burma, Phillips Carbon, Praj Industries, Aditya Birla Retail and Sundaram Finance have received positive feedback from market participants as they hit a new 52-week high. We witnessed strong buying interest, indicating bullish sentiment.
Stocks under selling pressure:
CSB Bank stock hit a 52-week low, suggesting bearish sentiment on the counter.
Emotion meter values are:
Overall, market breadth favored the bears as 2,017 stocks ended in the red while 1,932 stocks ended in the green.
(Disclaimer: Recommendations, suggestions, views and opinions given by experts are their own. They do not represent the views of Economic Times)
