Nifty 8778/Sensex 28329/ Bank Nifty 20151
28 Advances / 22 Declines/ 1 Unchanged
Indian markets settle with moderate gain
After trading on a feeble note for most part of the session, Indian benchmark indices managed to negotiate a close in the green terrain, as investors showed renewed buying interests in information technology, Consumer Durables and Realty counters. Investors got some comfort with RBI governor’s statement that there is further scope for banks to reduce lending rates as the Reserve Bank has already brought down its policy rates by 175 basis points since January 2015. Some support also came with Economic Affairs Secretary Shaktikanta Das’ statement that India will be able to pull off a 7% plus growth rate next fiscal as the Budget for 2017-18 has come up with several measures to provide a fillip to various sectors.
Further, rejecting arguments that fiscal deficit target of 3.2% is optimistic, he said it is realistic and there is all possibility that revenues will exceed the target, as Budget has not taken into account the demonetisation windfall. However, gains remained capped on report that foreign portfolio investors (FPIs) sold shares worth a net Rs 127.69 crore on February 08, 2017. Adding the anxiety among market participants, RBI’s bi-monthly survey on consumer confidence indicate that Indian households are less confident of their current economic situation as people are uncertain about their immediate income, employment and spending capabilities.
Meanwhile, banking stocks declined as RBI held repo rates at 6.25% for the second time in a row, changing its stance to 'neutral' from 'accommodative'. On the other hand, IT stocks gained traction as global IT major Cognizant has guided for a revenue growth of $3.51 billion to $3.55 billion for March quarter. The company expects March quarter non-GAAP diluted EPS to be at least $0.83 per share.
On the global front, Asian markets ended mostly higher on Thursday as investors grew more confident about China due to an ongoing commodity price rally along with Beijing's gentle monetary tightening, via money-market rates. Trading volumes remained rather thin in the wake of growing concerns over political instability in Europe and lingering uncertainty over US President Donald Trump's policies. However, ignoring better-than-expected core machinery orders data, Japan's Nikkei share average ended lower due to pressure from a stronger yen ahead of a meeting this week between US President Donald Trump and Japan's Prime Minister Shinzo Abe.
Reports showed Japan's Core machinery orders rose 6.7 percent in December from the previous month, beating forecasts for an increase of 3.1 percent. Meanwhile, European markets were trading marginally higher as investors maintained caution amid rising political uncertainty.
Back home, after getting a gap up start, the local benchmarks showed some strength in early trades, but the sentiments turned pessimistic in late morning trades and indices start drifting lower, however the market regained its momentum in the final hour of trade and finished the day in positive territory
FII’s Activity 09-Feb-17
The FIIs as per Thursday’s data were net sellers in equity and debt segments both, according to data released by the NSDL.
In equity segment, the gross buying was of Rs 4468.40 crore against gross selling of Rs 4656.66 crore. Thus, FIIs stood as net sellers of Rs 188.26 crore in equities.
In the debt segment, the gross purchase was of Rs 1560.80 crore with gross sales of Rs 2235.08 crore. Thus, FIIs stood as net sellers of Rs 674.28 crore in debt.
Key Result
Alkem Laboratories Ltd
Balkrishna Industries Ltd
Bank of Baroda
BEML Ltd
Berger Paints India Ltd
Bombay Burmah Trading Corporation Ltd
Bosch Ltd
CESC Ltd
Chambal Fertilisers & Chemicals Ltd
Corporation Bank
Crompton Greaves Ltd
Deepak Fertilizers & Petrochemicals Corp Ltd
Dena Bank
Elgi Equipments Ltd
Engineers India Ltd
Eros International Media Ltd
GAIL (India) Ltd
Hindustan Copper Ltd
Hindustan Zinc Ltd
Ipca Laboratories Ltd
J B Chemicals & Pharmaceuticals Ltd
Jagran Prakashan Ltd
Jaiprakash Associates Ltd
JBF Industries Ltd
Mahindra & Mahindra Ltd
Max Financial Services Ltd
Praj Industries Ltd
Radico Khaitan Ltd
Rashtriya Chemicals & Fertilizers Ltd
Reliance Capital Ltd
Sequent Scientific Ltd
SML ISUZU Ltd
SRF Ltd
State Bank of India
Sun TV Network Ltd
Suzlon Energy Ltd
Symphony Ltd
Tamil Nadu Newsprint & Papers Ltd
Tata Power Company Ltd
Techno Electric & Engineering Company Ltd
Welspun Corp Ltd
Now what to expect next??
Nifty Levels
Support 8720 and resistance at 8850
Looks positive and could touch its resistance level of 8850, break and sustain above 8850 will take it to 8900—8950 and then to 9000+ mark in days to come else could touch its support level of 8720 again.
Fresh selling can be initiated below 8720 mark.
Trade with levels only
Bank Nifty Levels
Bank Nifty unable to breach its resistance level and crashed vertically.
Now what to expect???
Support at 19900 and resistance at 20650
Trend still looks positive and could touch its resistance level of 20650, further upside rally will see on close above 20650 else could touch its support level of 19900
Looks weak only below 19900
Today's Top Pick
Voltas
Yesterday we have seen sharp upside move in Voltas. Now it has support at 336 and resistance at 346.
Above 346 will see further upside rally till 355—358 and then to 365+ mark
Support and stop loss below 336 on closing basis.
More will update soon!!
