On Tuesday, the stock market once again saw a boom amid the Diwali atmosphere. Global markets also witnessed a boom. After many days, Sensex and Nifty are once again bullish for the second day in a row. The Sensex rose 363 points to close at 80369 points, while the Nifty futures index rose 127 points to close at 24477 points. While the Bank Nifty Future Index closed at the level of 52294 points with a jump of 966 points.
The equity market saw a cautious recovery today after falling continuously in the last five sessions. Most of the sectors were bought from a lower head led by banking and metal stocks. However, profit booking was seen at the higher end. Players seem to be taking a cautious approach, avoiding excessive borrowing. Investor sentiment has been supported by the prospect of war in the Middle East appearing to be averted for now. However, the hammering of foreign funds continued. The fund house had a net sale of over Rs 3200 crore in equities in the current month.
Top gainers in today's trade include Devise Lab, Torrent Pharma, Sun Pharma, PDLite, Hindustan Unilever, Nestlé India, Lupine, Axis Bank, Ramco Cements. Today's top losers include Adani Enterprises, Larsen, Indigo, TVS Motors, Mahindra. Stocks like & Mahindra, ACC, Grasim, Reliance, Godrej Property, Tata Communication, Kotak Mahindra Bank, HDFC Bank, Infosys, Voltas, Havells, HCL Technology, Tata Motors Bharti Airtel, Cipla have declined. Out of a total of 3991 scrips traded on BSE, decliners were 1623 and gainers 2242, while 126 scrips were unchanged. While in 02 stocks there was an upper circuit of only buyer bullishness against the bearish lower circuit of only sellers in 13 stocks.
Nifty Future Technical Levels NIFTY FUTURE CLOSE :- ( 24477 ) :- The next swing is likely to see Nifty Future touch the all-important level of 24303 points, 24303 points, 24280 points with respect to the first and all-important strong stoploss of 24676 points trading. Cautious positioning around 24606 points.
Bank Nifty Future Technical Levels Bank Nifty Future Close :- ( 52294 ) :- Next fluctuation is possible Bank Nifty Future may touch the crucial level of 52008 points first and 51808 points from 52373 points to 52434 points, 52505 points very important level regarding strong stoploss trading. Cautious positioning around 52505 points.
Specific technical level regarding future stock Balakrishna Industries ( 2893 ) :- The share price of this leading company of Balakrishna Group is currently trading around Rs.2844. Buyable with a stoploss of Rs.2828, this stock is likely to register a price of Rs.2909 to Rs.2917 in a short period of time…!! Bullish focus above Rs.2940.
Infosys Limited ( 1842 ) :- Positive breakout around Rs.1808 as per technical chart…!! This buyable stock is likely to touch Rs.1858 to Rs.1870 with the support of Rs.1787…!! Hindustan Unilever ( 2551 ) :- According to the technical chart, this FMCG sector stock has the possibility of a profitable sell around Rs.2590 with a target price of Rs.2525 to Rs.2508. Consider a trading stoploss of Rs.2606..!! Voltas Limited (1769) :- This stock is sellable with a stoploss of Rs.1808 registering an overbought position around Rs.1797..!! It is likely to show the price of Rs.1744 to Rs.1727 in phases…!! Consider bullish above Rs.1820…!!
Future direction of the market… Friends, global trends, geopolitical tensions and corporate results of companies as well as elections will keep an eye on Indian markets in the coming week. Samvat 2080 stocks are departing with a major correction in the last one month after a historic rally. Foreign Portfolio Investors (FPIs) stocks have witnessed a major erosion in the correction resulting in massive net selling of Rs 1,00,256 crore so far in October after record returns to investors in many stocks. Investors' wealth has been eroded by Rs 34.37 lakh crore in 25 days. .
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 Diwali. 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.
The author is a SEBI registered research analyst and proprietor of Investment Point.
Image Credit: (Divya-Bhaskar): Images/graphics belong to (Divya-Bhaskar).
