Dear
Trader…
The equity market traded in a full session on Saturday, and
will remain shut on Monday due to a public holiday in Maharashtra state and as
the central government observes a half-working day on the occasion of the
inauguration of the Ram Temple in the northern city of Ayodhya. The blue-chip
Nifty 50 ended down 0.23% to 21,571.80, while the S&P BSE Sensex fell 0.4%
to 71,423.65. IT stocks slid 1% on the day after gaining more than 6% in the
past two weeks following better-than-feared earnings in the sector.
Consumer stocks fell 1.2%, weighed down by FMCG giant
Hindustan Unilever, which slid about 4% after a smaller-than-expected profit
increase. In contrast, the Nifty Bank index rose 0.8% after losing 5% over the
last four sessions following disappointing results from top private lender HDFC
Bank.
HDFC, an index heavyweight, rose 0.6% following a more than
12% slide post its results. Kotak Mahindra Bank gained 2.4%, despite reporting
quarterly profit below estimates. Digital payments firm Paytm climbed 1.5%
after reporting an operating profit for the fifth consecutive quarter on
account of festive season-led sales. Shares of Indian Renewable Energy
Development Agency and IDBI Bank gained 10% and 13.6%, respectively, after
reporting strong quarterly results.
Nifty
futures opened at 21741.00 points against the previous close of 21672.15 and
opened at a low of 21566.00 points. Nifty Future closed with an average
movement of 193.60 points and a decline of around 52.15 points and 21620.00
points…!!
On the NSE,
the midcap 100 index will rise 0.52% and smallcap 100 index is closing rise 0.20%.
Speaking of various sectoral indices, the NSE saw gains in, PSU Bank, PVT Bank,
Bank, Financial Services, Metal, Media and Oil and Gas stocks, while all other
sectoral indices closed lower.
At the start
of intra-day trading, February gold opened at Rs.61876, fell from a high of Rs.62254
points to a low of Rs.61840 with a decline of 16 points, a trend of around Rs.61988
and March Silver opened at Rs.71461, fell from a high of Rs.71889 points to a
low of Rs.71285.00 with a rise of 50 points, a trend of around Rs.71510.
Meanwhile, As
December Quarter earnings season started with IT companies posting their Q3FY24
numbers. It was a seasonally weak quarter for them due to higher furloughs
resulting in lower billable hours. The banking sector is expected to perform
well amid robust credit growth and sustained momentum. The financial sector is
expected to post strong numbers due to robust growth prospects. The Pharma
sector is also expected to perform well due to domestic market growth. The
chemical sector might not see significant growth.
Q3 earning
season will remain in focus as some major companies will announce their
quarterly numbers such as Colgate Palmolive, Coforge, Axis Bank, Havells, Indus
Tower, L&T Finance, United Spirits, Bajaj Auto, Canara Bank, Ceat, IOC,
Tata Steel, TechM, ACC, HPCL, JSW Steel and many more. The market will also
react to domestic and global events, FII/DII investment patterns, the movement
of the rupee against the dollar, crude oil prices, and the upcoming budget
would be in focus.
Technically, the important key resistances are placed in Nifty future are at 21707 levels, which could offer for the market on the higher side. Sustainability above this zone would signal opens the door for a directional up move with immediate resistances seen at 21808 – 22008 levels. Immediate support is placed at 21575 – 21474 levels.
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