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Share Market News Today | Sensex, Nifty, Share Prices LIVE: Domestic benchmark indices started Wednesday’s trading session with gains. S&P BSE Sense rallied more than 600 points on opening while Nifty 50 regained 17,100, adding 1% each. Bank Nifty was above 36,000 while broader markets mirrored the up-move. India VIX was down in the red. IndusInd Bank was the top gainer on Sensex, up 3.44%, followed by Tech Mahindra, HDFC, Tata Steel. Only Dr Reddy’s and Power Grid were down in the red.
“Yesterday, Nifty turned lower after briefly penetrating our 17280 marker, and plunged to a fresh intraday low towards yesterday’s close. Though this appears to have added momentum to the 16500 trajectory, many Nifty components ended up with either fully or half formed morning star candlestick patterns. This suggest that the, should Nifty manage to float above 17050-100 region, a relief rally aiming 17385-450 could be on the cards. Alternatively, inability to float above 17050 could negate this view, but a collapse is less likely.”
~ Geojit Financial Services
Tega Industries Rs 620 crore IPO opened for subscription today. The company is looking to raise funds in a fixed price band of Rs 443-453 per share through the public issue which is entirely an Offer for Sale (OFS) by existing shareholders of the firm. Tega Industries is a manufacturer and distributor of specialized ‘critical to operate’ and recurring consumable products for the global mineral beneficiation, mining and bulk solids handling industry. The IPO of Tega Industries will close for subscription on Friday, December 3.
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Increasing from 55.9 in October to 57.6 in November, the seasonally adjusted IHS Markit India Manufacturing Purchasing Managers’ Index® (PMI®) signalled the strongest improvement in the health of the sector for ten months. Moreover, the headline figure was well above its long-run average of 53.6.
“While the index has opened with a gap, traders should not be hasty to jump on the long side. The markets have stiff resistance levels on the upside. On the contrary short positions can be strategically timed with strict stops. Since the market has opened with a gap, the risk-reward ratio would be favorable. If the Nifty does not hold 16900, we could drop to 16500,” said Manish Hathiramani, proprietary index trader and technical analyst, Deen Dayal Investments.
“We expect index to undergo a base formation around key support zone of 16900-16700 wherein stock-specific action will prevail. However, for a meaningful pullback to materialise the index needs to decisively close above previous sessions high. Else continuance of lacklustre move amid stock specific action. Thus, dips should be capitalised on to accumulate quality stocks as we do not expect Nifty to breach key support threshold of 16900-16700. Meanwhile, 17600 would continue to act as immediate hurdle being 50 days EMA,” said ICICI Direct.
All 30 Sensex stocks were in the green on Wednesday morning as the headline index soared more than 600 points.
Domestic equity markets opened with gains on Wednesday morning. Bank Nifty jumped 1%. India VIX was down 8%.
“Whipsaw movement continues as SGX is again showing a positive start for Nifty in spite of negative global cues. It is best to let the volatility settle before taking any significant trade. Bear grip below 16,950, Bull grip above 17,325,” said Rahul Sharma, Director & Head – Research, JM Financial.
Sensex and Nifty extended gains in pre-open session as Sensex moved 250 points higher while Nifty touched 17100.
Nifty surged higher during the pre-open session and regained 17,000 mark. Sensex was above 57,100.
The Nifty ends 71 points lower while the Sensex down by 195 points, Metals, Energy and Auto stocks witnessed sharp profit booking at higher levels. On Tuesday, after a positive opening the index quickly surpassed the yesterday high and rallied over 200/900 points but once again bears took the charge at higher levels and due to profit booking at higher levels the index corrected sharply. The nifty corrected over 375/1300 points from the day highest level. After a volatile trading session finally it closed below 17000/57150 mark which is broadly negative for the market.
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In the month of November 2021, Foreign institutional investors have done net selling of worth Rs-39,901.92 crores. while domestic institutional investors have done net buying of worth Rs 30,560.27 crore in the Indian equity market. On the technical front, the key resistance levels for Nifty50 are 17230 followed by 17480 and on the downside 16840 followed by 16680 can act as strong support. Key resistance and support levels for Bank Nifty are 36470 and 35230 respectively.
~ Mohit Nigam, Head – PMS, Hem Securities
“Nifty is expected to open with a gap up of 120 points at 17100. Nifty has resistance in 17200-17300 range and support in 16800-16900 range. Nifty is currently in a short term downtrend and traders are suggested to avoid taking new long positions,” Gaurav Udani, CEO & Founder, ThincRedBlu Securities.
“Nifty could not capitalize on the gained made on the previous (Monday) session. It formed an inverted hammer like pattern on daily charts after a fall, suggesting possibility of an upward reversal as long as the lows of 16931 are protected. On the upside 17352 remains a resistance,” said Deepak Jasani, Head of Retail Research, HDFC Securities.
Going ahead, we expect the market to witness higher volatility in the near term given the uncertainty around the new Omicron variant. As the clarity would emerge over the next few weeks with regards to its transmission, impact on hospitalization, mortality, etc, the market direction would be decided in due course. Till then Travel, Tourism, Hospitality, and Retail are some of the segments which are likely to underperform. Even sectors/stocks exposed to markets with rising COVID-19 cases/greater prevalence of the Omicron variant may underperform. We expect sector rotation to defensives like Pharma, IT, and Consumer till sentiments improve. However, Nifty valuations post-correction at ~20x FY23E EPS is relatively more reasonable now and thus would advise investors to buy in this pullback in a staggered fashion.
~ Siddhartha Khemka, Head – Retail Research, Motilal Oswal Financial Services
A short-lived attempt by bulls to regain control of Dalal Street was quashed on Wednesday as headline indices gave up intraday gains to close with losses. On the charts, a small negative candle was formed on the daily chart with a long upper shadow, according to Nagaraj Shetti, Technical Research Analyst, HDFC Securities. “The display of lack of strength during upside bounce could hint at a possibility of further weakness down to 16700 levels in the next few sessions. The immediate downside target could be around 16500-16300 levels and this is likely to be achieved in the next 1-2 weeks,” he added.
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SGX Nifty was up in the green on Wednesday morning. Nifty Futures soaring higher ahead of the opening bell hints at a positive start for domestic equities.
India’s gross domestic product (GDP) expanded at 8.4% on year in the September quarter, as value addition across sectors picked up moderately and help came from a favourable base (-7.4%), according to data released by the National Statistical Office (NSO) on Tuesday. Unless the new coronavirus variant Omicron plays havoc, the economy may remain on the path of recovery through the second half, and the GDP could reach the pre-pandemic (FY20) level in the current fiscal itself.
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