Nifty 8575/Sensex 27774
7 Advances/ 43 Declines/ 1 Unchanged
Profit booking continues; Sensex sheds 310 pts, Nifty below 8600
Adani Ports was the biggest gainer on Sensex due to strong Q1 earnings.
Marc Faber: S&P is set to crash 50%, giving back 5 yrs of gains
Profit booking continued for the second consecutive session Wednesday as the equity benchmarks posted a biggest one-day loss since June 24.
The 30-share BSE Sensex lost 310.28 points or 1.10 percent at 27774.88 and the 50-share NSE Nifty plunged 102.95 points or 1.19 percent to 8575.30.
The broader markets also caught in bear grip. The BSE Midcap and Smallcap indices were down more than a percent as about 1893 shares declined against 840 advancing shares on the exchange.
Bank Nifty too could not sustain its support and crashed 285 points closing at 18647.
Analysts believe that the profit booking is warranted as the market already priced in major events (like the passage of GST Bill, monsoon, RBI policy, delay in Fed rate hike etc) by rallying more than 22 percent since March 1. The sell-off may continue for some more time but the market may continue to get support from the liquidity, according to them.
Key highlights of 10th August 2016
M&M Q1 profit up 12%; volumes support revenue, auto margin shrinks
Nifty to confirm 'hanging man' pattern; has trend reversed?
VSNL land demerger: Tata Comm, minority shareholders to gain
Jhunjhunwala picks up additional stake in Aptech; 3 reasons why he may be buying
How RBI rate cuts have helped drive bank clean-up: SBI Chair
Motherson Sumi Q1 profit, revenue up over 15%; debt jumps 29%
Indian inflation seen picking up in July on higher food prices
Demand for India-made liquor brands on the rise: Globus Spirits
BSE reports 40% jump in Q1 net profit to Rs 52.72 crore
Despite crashing market we booked profit in both our Buy and Sell Recommendations.
We booked full profit in Coal India at 335 , it was recommended to buy around 330.
Part profit was booked in Nifty Sell recommendation at 8610 and it was advised to sell at 8660.
Another part profit was booked in Bank nifty, recommended to sell around 18900 and we booked part profitaround 18710.
Now what to expect next??
Nifty and Bank Nifty future levels
Nifty has support at 8580 and resistance at 8630. Break and sustain below 8580 will take to 8520---8450 mark. More and more downside panic will see only close below 8450 else it could test its resistance level of 8660 again. Close above 8630 will take to 8660---8690 and then to 8760 mark.
Further upside rally will see only weekly close above 8760.
Bank nifty on the other hand is following the same trend as Nifty.
Bank Nifty futures has immediate support at 18700 and a move below this level can take bank nifty to test 18450---18200 and then to 17900 levels. Bank Nifty will be positionally weak below the level of 17900 mark only.
Hurdle intact at 19000---19200
Today's Top Pick
Maruti... Formed double top pattern on daily chart. Sell it below 4850. We will see vertical downfall till 4700---4600 and then to 4300 mark too
Hurdle at 5000.
You can buy put option of 4850 too.
