The stock market was bullish on Tuesday. Despite the upswing in Sensex, Nifty, investors' wealth i.e. aggregate market capitalization of companies listed in BSE increased as small, mid-cap, A group stocks remained attractive today. The Sensex rose 694 points to close at 79476 points, while the Nifty futures index rose 179 points to close at 24293 points. While the Bank Nifty Future Index closed at 52333 points with a jump of 780 points.
Local Funds- Local institutional investors continued to buy stocks and retail investors increased their holdings in mutual funds through special systematic investment plans. The market took a U-turn today with funds buying heavily in banking-finance stocks and selective buying in capital goods, consumer durables, metal stocks at the head of the decline. Funds were bullish on banking-finance stocks today. Funds in financial services stocks were buying aggressively today. Funds were also doing selective buying in capital goods, power stocks today. Funds were also buying stocks of consumer durables companies today. Profit booking was also done in IT-software services, technology stocks.
Indian stock market market Vikram Samvat 2080 has been great. However, the last month of the year was very heavy and bad. Global war situation and inflationary pressure on the burden of high valuations pushed the Indian stock market down. Domestic institutional investors countered the massive sell-off by foreign investors in October. DIIs i.e. Domestic Institutional Investors have invested a record Rs 4.6 lakh crore in Indian equities during Samvat 2080. Top gainers in today's trade include HDFC AMC, TCS, Mahindra & Mahindra, TVS Motors, HCL Technology, Sun Pharma, Tata Communication, Larsen, Muthoot Finance, HDFC Bank, Oberoi Realty, Kotak Mahindra Bank, Adani Enterprises, Axis Bank. In today's top losers list, stocks like Devise Lab, Indigo, Voltas, Bharat Forge, Colpal, Lupine, ACC, Glenmark Pharma, SBI Life have declined.
Out of a total of 4058 scrips traded in BSE, the number of losers was 1471 and the number of gainers was 2478, 109 stocks saw no change in price. While 191 stocks had a bullish upper circuit of only sellers against a lower circuit of bearish only sellers in 411 stocks.
Nifty Future Technical Levels NIFTY FUTURE CLOSE :- ( 24293 ) :- NIFTY FUTURE 24202 TO 24088 POINTS, 24008 POINTS IS POSSIBLE TO TOUCH THE 1ST 24373 POINTS AND 24404 POINTS VERY IMPORTANT STRONG STOPLOSSE TRADING. Cautious positioning around 24008 points.
Bank Nifty Future Technical Levels Bank Nifty Future Close :- ( 52333 ) :- The next fluctuation is likely Bank Nifty Future to touch the crucial level of 52606 points first and 52676 points from 52180 points to 52008 points, 51808 points with respect to very important strong stoploss trading. Cautious positioning around 52676 points.
Specific technical level regarding future stock HCL Technology (1778) :- The share price of this leading company of HCL Group is currently trading around Rs.1755. Buyable with a stoploss of Rs.1727, this stock is likely to register a price of Rs.1797 to Rs.1808 in a short period of time…!! Bullish focus on Rs.1820…!! Kotak Mahindra Bank ( 1763 ) :- Positive breakout around Rs.1744 as per technical chart…!! This buyable stock is likely to touch Rs.1783 to Rs.1790 with support of Rs.1727…!! Lupine Limited ( 2185 ) :- According to the technical chart, this stock from the pharmaceutical sector is likely to trade profitably around Rs.2208 with a target price of Rs.2167 to Rs.2140. Consider a stoploss of Rs.2230 for trading..!! Oberoi Realty ( 1999 ) :- This stock is sellable with a stoploss of Rs.2047 registering an overbought position around Rs.2034..!! It is likely to show the price of Rs.1970 to Rs.1947 in a phased manner…!! Take a bullish view above Rs.2060.
Future direction of the market… Friends, Samvat 2080 stocks are leaving with a major correction in the last one month after a historic rally. Foreign Portfolio Investors (FPIs) stocks have seen a major erosion in the correction resulting from massive net selling of Rs 1,00,256 crore so far in October, after record returns to investors across several stocks. In just 25 days, Rs.34.37 lakh crore has been eroded in the wealth of investors. The buying of local funds against the selling of foreign funds was not enough to prevent the market from falling. Diwali cited a dip in stock prices over the weekend amid renewed tensions in the Middle East and weak corporate results at frontline companies, amid concerns over asset quality at banks, citing a disappointing Diwali return. It is now necessary to be defensive and selective in stocks. Care must be taken in the market until the incessant sell-off of foreign funds stops. Redemption pressure on local funds may come in the coming days in the event of flare-up in crude oil along with geopolitical tension and incessant selling of foreign funds.
After the minor uptick seen in the stock market last week, investors are now looking ahead to the coming days. In the coming days, the Indian stock market will depend on the results of the US presidential election, interest rate decision by the Federal Bank of America, PMI, FII data and crude oil fluctuations. The performance of the stock market may be full of ups and downs in the coming days.
The author is a SEBI registered research analyst and proprietor of Investment Point.
Image Credit: (Divya-Bhaskar): Images/graphics belong to (Divya-Bhaskar).
