Trends in SGX Nifty were pointing to a new record high start for the BSE Sensex and Nifty 50 on Monday. In the previous session, Sensex, Nifty and Bank Nifty all hit record closing highs. The BSE Sensex index rose by 568 points to end at 61,305 points, the first time above 61,300 points, while the Nifty 50 index settled at 18,338, up 177 points. Analysts say bulls are still in charge of Dalal Street amid volatility, setting the stage for the festive season. Although there is not a lot of negative catalysts, the macroeconomic trends continue to improve on a monthly basis. “Markets are in a clear festive mood and we are seeing the stadia sector rotate in play. Siddhartha Kimka, Head of Retail Research, Motilal Oswal Financial Services, said earnings season has started on a strong note and it needs to continue to deliver strong numbers to the market to maintain the current momentum.
Today’s second quarter results: Companies listed on the Bahrain Stock Exchange such as UltraTech Cement, Larsen & Toubro Infotech, Route Mobile, Alok Industries, Concord Drugs, Craftsman Automation, Gujarat Hotels, Hathway Bhawani Cabletel & Datacom, Hatsun Agro Product, International Travel House, Lloyds Steels Industries and corporate advisors Navigators, Sunedison Infrastructure, SVP Global Ventures, Tanfac Industries, Tata Coffee and Uniply Decor will report September quarter earnings on October 18.
FII and DII data: On Thursday, foreign institutional investors (FIIs) bought shares worth Rs 1,681.60 crore while domestic institutional investors (DIIs) sold shares worth Rs 1,750.59 crore on a net basis in the Indian stock market.
global watch: Most Asian stock markets fell in early trading on Monday, with Japan’s Nikkei shedding 0.37% while Topix shedding 0.4%. South Korea’s Kospi was down 0.23%. Hong Kong’s Hang Seng Index is down 0.44%. In overnight trading on Wall Street on Friday, US stocks rose and the Dow Jones posted its biggest weekly percentage gain since June, according to Reuters. The Dow Jones Industrial Average rose 382.2 points, or 1.09%, to 35,294.76 points, the Standard & Poor’s increased 33.11 points, or 0.75%, to 4,471.37 points, and the Nasdaq Composite increased 73.91 points, or 0.5%, to 14,897.34 points.
Stylish show: On the technical front, the market is likely to remain in bullish territory as long as Nifty is stable above 18100, one of the analysts said. “Nifty formed a bullish candle on the daily chart and has been making higher lows for the past 3 sessions..the daily Stochastic and MACD are showing positive crossovers on the daily chart supporting the bullish momentum,” Abrajita Saxena, Research Analyst, Trustline Securities, for Financial Express Online.
Nifty Bank resistance at 40,000: The indicator is trading above the 21, 50 and 100 day exponential moving averages on the daily time frame, which is positive for the near term prices. The main resistance is placed near 39.800 – 40,000 levels. On the downside, if prices drop below 38800, we may test 38200 levels, Saxena added.