Equity markets are in a frenzy with the US Fed Reserve announcing a 0.50% cut in interest rates. Asian markets have seen impressive gains. On the other hand, European and American markets have declined. Indian stock markets are also surging ahead with new record highs. The Indian stock market has witnessed a spectacular rally on Thursday due to strong global factors, with the Sensex hitting a record high of 83773. The Nifty also touched an all-time high of 25640 points. The Bank Nifty also touched an all-time high of 53447 points.
Jerome Powell has indicated a positive outlook on the US economy. As a result, IT and techno stocks may see a boom. The dollar has weakened after four years of interest rate cuts. As a result, foreign investment is expected to increase in the domestic market. The US policy rate has now come down to 4.75%, 5%. Before this it was between 5.25% to 5.5% levels for a long time.
Top gainers in today's trade include Reliance, Hindustan Unilever, Grasim, Asian Paints, PDLite, Muthoot Finance, Gujarat Gas, Havells, Voltas, Infosys, Kotak Mahindra Bank, Sun Pharma, Oberoi Realty, HDFC Bank, Bharti Airtel, Glenmark Pharma, Axis Bank, Stocks like Tata Chemicals, State Bank of India have increased. Today's list of top losers include IndiGo, TCS, Larsen, Kolpal, Torrent Pharma, Jindal Steel, Mahindra & Mahindra, Lupine, HCL Technology, Bata India, Adani Ports. .
Out of total 4075 scrips traded in BSE, the number of losers was 2738 and the number of gainers was 1246, 96 stocks were unchanged. While in 03 stocks bearish lower circuit of only sellers was observed in 11 stocks bullish upper circuit of only buyers.
Nifty Future Technical Levels
Nifty Future Close :- ( 25489 ) :- On the next move, Nifty Future is likely to touch the crucial level of 25606 points, 25570 points to 25606 points, with respect to the first of 25373 points and a very important strong stoploss of 25303 points. Positioning cautiously around 25303 points.
Bank Nifty Future Technical Levels Bank Nifty Future Closed :- ( 53177 ) :- The next swings are likely to see the Bank Nifty Future touch the all-important levels of 53272 points to 53373 points, 53505 points with respect to the first of 52939 points and the all-important strong stoploss trading of 52808 points. Positioning cautiously around 52808 points.
Specific technical level regarding future stock ACC Limited ( 2452 ) :- The share price of this leading Adani Group company is currently trading around Rs.2424. Buyable with a stoploss of Rs.2404, this stock is likely to register a price of Rs.2474 to Rs.2488 in a short period of time…!! Bullish focus above Rs.2500…!! Oberoi Reality ( 1855 ):- Positive breakout around Rs.1828 as per technical chart…!! Buyable with support of Rs.1808, this stock is likely to touch Rs.1874 to Rs.1880…!! Infosys Limited (1901) :- According to the technical chart, this stock from the Computers – Software & Consulting sector is likely to have a target price of Rs.1888 to Rs.1874 after a profitable sell-off around Rs.1933. Consider a trading stoploss of Rs.1940..!! Kotak Mahindra Bank ( 1874 ):- This stock is sellable with a stoploss of Rs.1909 registering an overbought position around Rs.1890..!! It is likely to show the price of Rs.1860 to Rs.1844 in a phased manner…!! Consider bullish above Rs.1919.
Future direction of the market… Friends, there is a big news from America, the impact of which can be seen on the Indian stock market today. Actually, the American Fed has reduced the interest rate after almost four years. Earlier in March 2020, the policy rate was cut in America. Now investors are not worried about valuation. The market is very excited. Heavy buying is seen in all the largecap stocks. Sensex, Nifty and Bank Nifty hit record highs.
The country's trade deficit widened to $29.7 billion in August, the largest figure in the last 10 months. Commodity imports also hit a record high in August as gold imports doubled. Exports have been affected by slowdown in China, decline in petroleum prices, slowdown in developed economies and challenges related to transport and logistics. Exports have become a major challenge in the current global scenario.
There is a slowdown in China and recessionary pressures are visible in Europe and America. Shipping has also become more expensive when ships are routed through the Suez Canal to the Cape of Good Hope. Petroleum imports have fallen by nearly a third to $11 billion. Export profits have fallen due to a rapid increase in international freight rates.
The author is a SEBI registered research analyst and proprietor of Investment Point.
Image Credit: (Divya-Bhaskar): Images/graphics belong to (Divya-Bhaskar).
