Nifty 9,351/Sensex 30,133 / Bank Nifty 22,242
21 Advances / 30 Declines/ 0 Unchanged
Late hour selloff drag benchmarks lower; Nifty settles April F&O expiry below 9,350
Indian equity markets truly depicted the choppiness of F&O expiry session and ended the session slightly in red on Thursday. Final hour of trade mainly played spoil sports for the markets and bourses settled below their crucial 30,100 (Sensex) and 9,350 (Nifty) levels. However, for the April series, Nifty garnered gains of 1.84 percent, while Sensex ended the series with a gain of 1.29 percent. Today, markets made a cautious start after Finance Minister Arun Jaitley expressed concern over the worrying signs of economic protectionism and has said the continued unpredictability in ties between major powers has brought new uncertainties to the fore. Separately, investors took note that a stronger rupee can help check inflation as it will pull down commodity prices, but export-reliant companies such as IT firms and drug makers are likely to take up to 4% hit on their earnings. Exporters’ body Federation of Indian Export Organisations (FIEO) said the rupee appreciation during the last two months has negatively impacted the country’s exports, and demanded immediate support from the government.
However, markets made smart recovery and entered into green terrain in afternoon session, as some support with the report that the Securities and Exchange Board of India (Sebi) approved a slew of reform measures to provide a fillip to the domestic markets, which include approval to options trading in commodity derivatives, unified licence for brokers, mutual fund investments through digital wallets, stricter public offer norms and enhanced safeguards to curb illicit fund flows. Sentiments also got soothed with report that bank credit growth improved to 5.52 percent in the first fortnight of the financial year (FY18), after falling to a whopping six-decade low of 5.08 per cent in the previous financial year (FY17). Some support also came with Finance Minister Arun Jaitley asserting that the government was giving top priority to addressing the issue of bad loans while acknowledging that the problem of non-performing assets was ‘adversely impacting’ the Indian banking system.
Selling in last hour of trade mainly dragged benchmarks lower, as traders opted to book their profits at higher levels. Weak opening in European counters too dampened sentiments. CAC, DAX and FTSE trading lower, as investors waited to hear from European Central Bank President Mario Draghi and digested fresh corporate earnings. However, Asian markets exhibited mixed trend on Thursday.
Back home, the Indian rupee on Thursday erased most of the initial gains and was trading little changed against the US dollar at the time of equity markets closing. The NSE’s 50-share broadly followed index Nifty slipped by 10 points to end below the psychological 9,350 support level, while Bombay Stock Exchange’s Sensitive Index -- Sensex declined by over one hundred points to finish below its psychological 30,100 mark. Broader markets too traded in-line with benchmarks and ended mixed on Thursday. The market breadth remained in favor of decliners, as there were 1,309 shares on the gaining side against 1,566 shares on the losing side, while 160 shares remain unchanged.
FII’s Activity 27-April-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 5441.78 crore against gross selling of Rs 5506.07 crore. Thus, FIIs stood as net sellers of Rs 64.29 crore in equities.
In the debt segment, the gross purchase was of Rs 661.30 crore with gross sales of Rs 845.86 crore. Thus, FIIs stood as net sellers of Rs 184.56 crore in debt.
Now what to expect next??
Nifty Levels
Support at 9240 and Resistance at 9380---9450.
Above 9330 rally remain continue till 9380---9450 mark else will it could test its support level of 9240 again.
Close below 9240 will take to 9180---9130 mark. Major support intact at 9080
Bank Nifty Levels
Support at 21800 and resistance at 22500
Trend looks positive and could touch its resistance level of 22500.
Support level of 21800 again.
Trade in a range with levels only. Any reversal seems will update.
Today's Top Pick
Godfryphlp
Support at 1150 and Resistance at 1235
Above 1235 will see sharp upside rally till 1315+++ mark.
Looks weak only if close below 1150
Results Today
Ambuja Cements Limited
UPL Limited
IDFC Limited
The Federal Bank Limited
CEAT Limited
29-Apr-2017
JSW Energy Limited
More will update soon!!
