The stock market closed on a bullish note for the third day in a row today. The Sensex managed to cross the level of 81,200 with a jump of more than 300 points. The Indian stock market has seen an improvement in global stock markets today. At BSE today, the market breadth has been positive with corrections seen. In the last two days, investors' capital has increased by 6.12 lakh crore due to the positive trend in the market. Apart from healthcare, power, auto, telecommunications, all the sectoral indices are trading in green zone. Steel, metal stocks remained attractive amid reports of discussion on stimulus in China next week and discussion of increasing anti-dumping duty on steel. Shares of defense companies in the morning trading session. rose up to 5%. Defense Acquisition Council to boost defense sector Shares saw a jump on approval of five acquisitions worth Rs 21772 crore.
The Sensex rose 110 points to close at 80956 points, while the Nifty futures index rose 14 points to close at 24561 points. While the Bank Nifty Future index closed at 53381 points with a jump of 512 points. Foreign portfolio investors started to come back to India again in the stocks. With the Indian rupee continuing to depreciate against the US dollar against a weak GDP growth figure and risk of a sharp rise in inflation, the Reserve Bank of India's (RBI) monetary policy starting tomorrow is expected by some to remain dovish and not cut interest rates immediately. Despite the estimates, stocks were seen undervaluing today on the support of foreign funds. Funds bought heavily in selective banking-finance stocks as Finance Minister Nirmala Sitharam presented the Banking Laws Amendment Bill.
Top gainers in today's trade include TCS, Larsen, Mahindra & Mahindra, Grasim, Oberoi Realty, HCL Technology, Muthoot Finance, Kotak Mahindra Bank, SBI Cards, Bata India, Bharat Forge, Jindal Steel, Ramco Cements, ICICI Bank. Today's list of top losers includes Indigo, Torrent Shares like Pharma, TVS Motors, ACC, Infosys, Sun Pharma, Havells, Voltas, Bharti Airtel, Reliance, Voltas, Aurobindo Pharma, Glenmark Pharma, Adani Ports, Axis Bank, Tata Chemicals, JSW Steel have declined.
Out of a total of 4070 scrips traded on BSE, decliners were 1584 and advancers 2381, while 105 scrips were unchanged. While in 185 stocks there was a bearish lower circuit of only sellers against a bullish upper circuit of only buyers in 449 stocks.
Nifty Future Technical Levels NIFTY FUTURE CLOSE :- ( 24561 ) :- On the next move Nifty Future is likely to touch the first of 24404 points and crucial strong stoploss of 24240 points from 24606 points to 24676 points, 24707 points in terms of trading. Cautious positioning around 24240 points .
Bank Nifty Future Technical Levels Bank Nifty Future Close :- ( 53381 ) :- Next fluctuation is possible Bank Nifty future may touch 53202 point first and 53008 point very important strong stoploss trading from 53570 point to 53636 point, 53707 point very important level. Cautiously around 53008 point Create a position.
Specific technical levels regarding future stocks Lupine Limited ( 2110 ) :- The share price of this company, the leader of the Lupine Group, is currently trading around Rs.2073. Buyable with a stoploss of Rs.2050, this stock is likely to register a price of Rs.2138 to Rs.2153 in a short period of time…!! Bullish focus on Rs.2160…!! HDFC Bank ( 1860 ):- Positive breakout around Rs.1833 as per technical chart…!! This buyable stock with support of Rs.1818 is likely to touch Rs.1878 to Rs.1890…!! HCL Technology ( 1899 ) :- According to the technical chart, this stock of Computers – Software & Consulting sector has a profit target price of Rs.1874 to Rs.1860 with a profit selling around Rs.1919. Consider a trading stoploss of Rs.1930..!! Sun Pharma ( 1802 ):- This stock is sellable with a stoploss of Rs.1844 registering an overbought position around Rs.1838..!! It is likely to show the price of Rs.1787 to Rs.1770 in a phased manner…!! Above Rs.1850 will look bullish.
Future direction of the market…. Friends, Gross Domestic Product (GDP) growth rate fell to 5.4% in the July-September quarter of the current financial year, following which the Monetary Policy Committee of the Reserve Bank (RBI) opined in a survey that the rate is less likely to decline. was The growth rate and inflation estimates for the current financial year may be revised. The RBI had estimated growth at 7.2%, which may come down and inflation may rise to 4.5%. Rates may remain unchanged at the December review meeting but liquidity management may be an important aspect. The results of the Monetary Policy Committee meeting will be announced on Friday. will be done. Excessive intervention in the foreign exchange market has significantly reduced liquidity in the banking system. Keeping this in mind the cash reserve ratio requirement for banks can be reduced. In view of the fall in growth rate, the Reserve Bank may reduce the cash reserve ratio by 25 basis points to increase liquidity. Also, by increasing liquidity in the banking system ahead of the rate cut, banks will be able to pass on the benefits of the rate cut better. Thus there is no possibility of a rate cut in December but some measures may be announced to increase liquidity. Along with this, growth rate and inflation estimates may also improve.
The correction in the stock market is complete. The market has bounced back. As the impact of all negative factors is now over, the market will continue to improve. After the crash in November, now December is starting, now be defensive and selective in stocks with pull back rally.
The author is a SEBI registered research analyst and proprietor of Investment Point.
Image Credit: (Divya-Bhaskar): Images/graphics belong to (Divya-Bhaskar).
