A sell-off was seen in the stock market on Wednesday. Amid market demand for a bigger stimulus package to rescue China's economy, industries, after the Chinese government gave reassurance, the tax burden on the overseas earnings of the super-rich will be increased and uncertainty about the new stimulus measures has arisen in global markets, especially in Asia, Europe. Markets were subdued. Global markets retreated with crude oil prices plunging a further four per cent on expectations that the world would slip back into deflation and as a result OPEC also cut its global crude oil demand forecast. Indian stock markets saw continued net selling by Foreign Portfolio Investors (FPIs) in stocks but selling. The results of Reliance Industries weighed on the market. Funds sold off in metal-mining, auto stocks while capital goods, consumer durables, realty stocks gained traction.
The Sensex closed down 318 points at 81501 points, while the Nifty future index closed down 69 points at 25048 points. While the Bank Nifty future index closed down 64 points at 52042 points. Global markets softened today amid uncertainty over China. Metal-mining stocks also saw funds sell off amid uncertainty that stimulus measures to rescue China's economy may not be enough and demand for more relief. The attraction of funds in realty company stocks was again seen increasing. In Sensex, Nifty, cautious bullish trade eased as funds sold off in small, mid cap stocks.
Top gainers in today's trade include HDFC AMC, Grasim, Axis Bank, Tata Chemicals, Reliance, Muthoot Finance, Havells, Voltas, Bharti Airtel, SBI Life, Sun TV, DLF, State Bank of India. Today's top losers include IndiGo , TCS, Kolpal, Mahindra & Mahindra, TVS Motors, Lupine, Oberoi Reality, HCL Technology, Kotak Mahindra Bank, Glenmark Pharma have declined in stocks.
Out of a total of 4068 scrips traded in BSE, the number of decliners was 1941 and the number of gainers was 2021, 106 stocks saw no change in price. While 04 stocks had only seller's bearish lower circuit, 06 stocks had only buyer's bullish upper circuit.
Nifty Future Technical Levels NIFTY FUTURE CLOSE :- ( 25048 ) :- The next move is likely to see Nifty Future touch the first of 24939 points and the crucial strong stoploss of 24808 points from 25088 points to 25108 points, the crucial level of 25188 points. Cautious positioning around 24808 points .
Bank Nifty Future Technical Levels Bank Nifty Future Close :- ( 52042 ) :- The next move is likely to see the Bank Nifty Future touch the crucial level of 51808 points first and 51676 points from 52088 points to 52188 points, 52303 points very important level around 51808 points. Create a position.
Specific technical level regarding future stock Aurobindo Pharma ( 1485 ) :- The share price of this leading company of Aurobindo Group is currently trading around Rs.1460. Buyable with a stoploss of Rs.1430, this stock is likely to register a price of Rs.1503 to Rs.1513 in a short period of time…!! Bullish focus above Rs.1520…!! SBI Cards ( 742 ):- Positive breakout around Rs.727 as per technical chart…!! This buyable stock with support of Rs.717 is likely to register a price of Rs.754 to Rs.760…!! Oberoi Realty ( 2030 ) :- According to the technical chart, this stock of the residential, commercial projects sector has the possibility of a target price of Rs.2002 to Rs.1980 through a profitable sell-off around Rs.2073. Consider a trading stoploss of Rs.2080..!! Sun Pharma ( 1903 ) :- Registering an overbought position around Rs.1938, this stock is sellable with a stoploss of Rs.1944..!! It is likely to show the price of Rs.1880 to Rs.1863 in a phased manner…!! Consider a bullish move above Rs.1950.
Future direction of the market… Friends, the possibility of a cut in interest rates in the country has been prolonged again with September inflation rising. In its October meeting, the Reserve Bank of India's (RBI) Monetary Policy Committee (MPC) decided to change its policy stance from withdrawal of accommodation to neutral, following which a repo rate cut is likely in December. Repo rate was maintained at 6.50% for the tenth time. The governor also said that adverse weather conditions, geopolitical frictions and a resurgence in crude oil prices pose significant upside risks. Due to climate change, central banks will have to face wider challenges in formulating an inflation-oriented monetary policy. While retail inflation in the country is expected to remain at the target level of four per cent in the financial year 2025-26 for the long term, inflation was seen below the target level in July and August of 2024. Inflation is expected to average 4.50% in the current financial year before reaching four per cent in the long run in financial year 2025-26. It would not be surprising if the interest rate cut is now extended till April, 2025.
Selling by Foreign Portfolio Investors (FPIs) in Indian stock markets is likely to be more aggressive. While on the other hand, the market is trying to settle down due to continuous buying by local funds- local institutional investors, investors are cautious about new big purchases. Sensex and Nifty will be volatile in the coming days due to geopolitical development, China's possible package and corporate results. can
The author is a SEBI registered research analyst and proprietor of Investment Point.
Image Credit: (Divya-Bhaskar): Images/graphics belong to (Divya-Bhaskar).
