Nifty forms bearish candle; consolidation likely but 11,383 crucial for bulls

The Nifty50 took a breather on March 14 and closed flat after witnessing a rally in previous three consecutive sessions. The broader markets also barely changed against its previous close.

The index remained in a range of 30 points for major part of the session and formed bearish candle on the daily charts as closing is way below its opening price.

Considering breather after a three-day rally indicates that there could be some more consolidation in the coming session, but the major downside is unlikely, experts said, adding 11,383 is crucial level for bulls.

The Nifty50 after positive opening at 11,382.50 traded higher for nearly one hour and hit an intraday high of 11,383.45 after RBI's latest statement on liquidity infusion in the system. But the index failed to sustain those gains and hit a day's low of 11,313.75. The index remained rangebound for major part of the session and closed at 11,343.30, up 1.60 points.

"Nifty50 registered a bearish candle on intraday charts, suggesting that market hit a pause mode for time being," Mazhar Mohammad, Chief Strategist – Technical Research & Trading Advisory at Chartviewindia.in told Moneycontrol.

He said, in next trading session if Nifty slips below 11,313 then it shall attract further selling pressure for the day which may then hint at a short term top around March 14 high of 11,383. In such a scenario initial target shall be in the zone of 11,227–11,180, he added.

As twin momentum oscillators, which usually have higher accuracy in catching short term turning points are on sell mode, he advised traders to refrain from maintaining or creating fresh long positions at this juncture.

India VIX moved down by 0.98 percent to 15.12. VIX has been hovering near to 15 but it has recently declined from higher zones which is supporting the overall bullish stance, experts said, adding option band signifies a shift in higher trading range in between 11,150 to 11,450 zones.

On Option front, maximum Put open interest (OI) is at 11,000 followed by 11,200 strike while maximum Call OI is at 11,500 followed by 11,400 strike.

Put writing is at 11,300 followed by 11,200 strike while Call writing is at 11,400 followed by 11,500 strike.

"On immediate basis Nifty index has to continue to hold above 11,280 to extend its upmove towards 11,400-11,450 while on the downside support exists at 11,280 then 11,222," Chandan Taparia, Associate Vice President | Analyst-Derivatives at Motilal Oswal Financial Services said.

Bank Nifty opened positive and hit a fresh life-time high of 29,070, however, it failed to hold above 29,000 and slipped marginally towards 28,800. It later recovered from lower levels but formed a bearish candle on the daily scale. The index closed 38.80 points higher at 28,923.10.

"Now it has to continue to hold above 28,688 to extend its momentum towards new life-time high of 29,000 then 29,250 while on the downside major support exists at 28,500 then 28,388," Chandan Taparia said.

Source:https://www.moneycontrol.com/news/business/markets/technical-view-nifty-forms-bearish-candle-consolidation-likely-but-11383-crucial-for-bulls-3647341.html

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Indices off day's high, Nifty trades flat; Power Grid Corp falls 3%

Market opens: It is a firm start for the Indian indices on Thursday morning with Nifty around 11,370 level.

The Sensex is up 131.80 points at 37883.97, while Nifty is up 32.80 points or 0.29% at 11374.50. About 566 shares have advanced, 268 shares declined, and 56 shares are unchanged. 

DHFL gained 5 percent, followed by Lemon Tree, Lupin, Zee Ent, Indianbulls Housing, HCL Tech, Axis Bank, Yes Bank, Infosys are among the major gainers on the indices, while losers include Power Grid, BPCL, Tata Motors, Adani Ports and HPCL.

Among the sectors, FMCG, infra and energy are trading marginally lower, while IT, metal, pharma, and auto witnessing buying interest.

Rupee Opens: The Indian rupee opened lower by 14 paise at 69.67 per dollar on Thursday versus previous close 69.53.

Source:https://www.moneycontrol.com/news/business/markets/stock-market-live-updates-bse-nse-nifty-around-indices-off-days-high-nifty-trades-flat-power-grid-corp-slumps-3-3644301.html

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Investor wealth up Rs 8 lk cr in March as FII inflows get a boost, Street expects Modi return

The benchmark index, S&P BSE Sensex, fell for nine consecutive days last month from February 7 to 19. Given the somber sentiment on the Street at that time, no one could have thought that the index would rally 2,248 points in the next 14 sessions.

Thanks to the strong rally in past few sessions, the market capitalisation (m-cap) of BSE-listed companies rose by Rs 12 lakh crore as on March 12 to Rs 148.20 lakh crore from Rs 136.24 lakh crore as recorded on February 19 when the index made a bottom of 35,287.

In March alone, m-cap of BSE-listed companies has risen by Rs 7.79 lakh crore.

Both Sensex and Nifty have risen above their crucial resistance levels to hit 6-month highs, thanks to liquidity push from foreign institutional investors (FIIs), and expectations of Modi 2.0 in the upcoming Lok Sabha elections to be held from April 11 to May 19.

“Before the Pulwama attack, there was uncertainty about the formation of next government. The way government has handled the situation increased the probability of BJP coming back to power,” Rusmik Oza, Head of Fundamental Research, Kotak Securities told Moneycontrol.

“Market is sensing a BJP victory after the Pulwama event and developments that have taken place since then. In the last three months, activity in emerging markets has improved with improved flows,” he said.

One big factor that is pushing the market higher is massive liquidity push seen from foreign institutional investors (FIIs) so far in March and February. FIIs have poured a little over Rs 10,000 crore in Indian equities till March 12.

FPIs were net buyers (equity and debt) in February as well as January 2019 for Rs 13,564 crore and Rs 127 crore, respectively. Experts feel that with FII flows resuming and domestic investors getting comfortable with the political developments, a host of beaten-down largecaps, mid and smallcaps are doing catch-up now.

“FIIs are continuously buying quality names that we saw in recent block deals of Kotak Bank, Wipro, etc. With stability in INR and supportive macros and micros can expect similar or better flow in the near term,” Yogesh Mehta, VP, Retail Research, Motilal Oswal Securities told Moneycontrol.

“Lower inflation, lower interest rates, stronger rupee and stable crude prices are the support for India’s economy whereas global markets are worrisome over the growth slowing down, Brexit and tariff war between US and China, which indicates Indian markets are decoupled due to the election in the centre stage,” he said.

Mehta further added that the recent air strike in Balakot has increased the popularity of Modi and markets have started projecting better performance of the ruling party in the coming election.

Source:https://www.moneycontrol.com/news/business/markets/investor-wealth-up-rs-8-lk-cr-in-march-as-fii-inflows-get-a-boost-street-expects-modi-return-3636791.html

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Sensex gains 100 pts, Nifty above 11,300; IT stocks in focus

Market Opens: It is a flat start for the Indian indices on Wednesday with Nifty below 11,300 level.

The Sensex is down 26.84 points at 37508.82, while Nifty is down 15.20 points at 11286. About 585 shares have advanced, 486 shares declined, and 33 shares are unchanged. 

Interglobe Aviation, Apollo Tyres, Nestle, Eicher Motors, RIL, Wipro, ITC, HUL, Infosys are among major gainers on the indices, while losers are IOC, HPCL, Vedanta, JSW Steel, Kotak Mahindra Bank, ICICI Bank, Tata Motors, Allahabad Bank, Oil India and ONGC.

On the sectoral front, auto, bank, infra and metal indices are witnessing selling pressure, while FMCG ad IT indices are trading with marginal gains.

Rupee Opens: The Indian rupee opened marginally lower at 69.74 per dollar on Wednesday against previous close 69.70.

Source:https://www.moneycontrol.com/news/business/markets/stock-market-live-updates-bse-nse-sensex-gains-100-pts-nifty-above-11300-it-stocks-in-focus-3639631.html

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Nifty forms bullish candle for second day in a row, profit booking likely

The Nifty50 after strong opening continued its run throughout the session and closed at highest levels in last six months on Tuesday. Strong global cues and FII flow lifted sentiment.

The index closed above 11,300 levels and formed bullish candle on the daily charts for second consecutive session.

The index has managed to cross 11,118 and 11,180 zones in last two sessions and supports are gradually shifting higher with the higher pace of buying momentum, but as it entered into overbought zone, there could be some profit booking in coming sessions, experts said.

The Nifty50 after opening sharply higher at 11,231.35 gained more strength as the day progressed and hit an intraday high of 11,320.40. The index closed 133.20 points or 1.19 percent higher at 11,301.20, the highest level since September 17, 2018.

"Nifty50 registered yet another day of gap up opening with strong bullish candle for second session in a row to continue its march towards northern direction as it cleared near term critical hurdles one after the other. Once a consolidation breakout happens it becomes quite natural to register this kind of sustainable upswings for couple of sessions," Mazhar Mohammad, Chief Strategist – Technical Research & Trading Advisory, Chartviewindia.in told Moneycontrol.

He said, however, as Nifty50 is nearing its logical resistance levels on the back of strong rally it may undergo some profit booking as it nears 11,400 levels.

Besides, this sharp upmove appears to have brought the indices into overbought zone on lower time frame charts making a case for some cooling off in the near term, he added.

On the down sides, Tuesday's gap zone of 11,227–11,180 can be considered as critical support going forward below which short term trend shall come under pressure, according to Mazhar.

For the time being, he advised traders to consider booking profits as Nifty heads towards 11,400 levels.

India VIX closed higher after the declines of last seven trading sessions. It was moved up by 1.33 percent to 15.09 levels.

On Option front, maximum Put open interest (OI) is at 11,000 followed by 10,700 strike while maximum Call OI is at 11,400 followed by 11,500 strike.

Meaningful Put writing is at 11,200 followed by 11,300 strike while Call unwinding is at all the immediate strikes with minor Call writing at 11,350 strike.

Experts said Option band signifies a shift in higher trading range in between 11,150 to 11,450 zones.

"Nifty index surpassed its resistance trend line of the sideways channel and closed above the same with the formation of bullish candle on daily scale which indicates bullish bias. Now it has to continue to hold above 11,200 zone to extend its gains towards 11,400-11,450 zones," Chandan Taparia, Associate Vice President | Analyst-Derivatives at Motilal Oswal Financial Services said.

Overall setup and momentum is positive and a follow up could continue its extended momentum while immediate support exists at 11,200 then 11,118 zones, he added.

Bank Nifty rallied by more than 450 points and made a new life-time high towards 28,488 mark by crossing previous high of 28,388 zones.

It closed at 28,443.70, up 477.05 points and formed a bullish candle on daily scale which indicates that bulls are holding tight grip in the market with fresh breakout.

"Now it has to continue to hold above 28,150 zones to extend its momentum towards new life time high of 28,750-28,800 zones while on the downside major support exists at 28,000 then 27,750 levels," Chandan said.

Source:https://www.moneycontrol.com/news/business/markets/technical-view-nifty-forms-bullish-candle-for-second-day-in-a-row-profit-booking-likely-3637471.html


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Nifty above 11,250, Sensex gains 300 pts; HDFC Life falls 4%

Market Opens: Indian indices continued its upward momentum on the second day on Tuesday with Nifty opened above 11,200 level.

The Sensex is up 291.67 points at 37345.77, while Nifty is up 80.50 points at 11248.50. About 759 shares have advanced, 129 shares declined, and 24 shares are unchanged. 

RIL, Tata Motors, IOC, Bajaj Finserv, HDFC, Dabur, Ashok Leyland, Union Bank, IOB, Coal India, HDFC Bank, Gail, Grasim Industries are among major gainers on the indices, while losers are Bharti Airtel, Bharti Infratel and HDFC Standard Life.

All the sectoral indices are trading higher led by energy, infra and metal.

Rupee Opens: The Indian rupee opened higher by 13 paise at 69.75 per dollar on Tuesday versus Monday's close 69.88.

Source: https://www.moneycontrol.com/news/business/markets/stock-market-live-updates-bse-nse-nifty-above-11250-sensex-gains-300-pts-hdfc-life-falls-4-3634311.html


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