Market Pulse: Uptrend Under Pressure
Nifty50: Six Nifty Midcap100: Seven Nifty Smallcap100: Seven
Global Stock Markets: US Markets Holiday Yesterday. Nikkei, -2.2%; Kospi, -0.8%; Shanghai Composite, -0.4%.
Yesterday, Nifty managed to start the session on a flat note. The first hour was highly volatile as the index made an intraday low of 17,351. After, it made a sharp upward move and the index closed near the day’s high. Reliance Industries provided good support as it alone contributed 111 points to the index. It was mixed action on the sectoral front. Nifty Realty (+1.9%), Media (+1.4%) and Pharma (+1.2%) gained the most. Nifty Auto (-0.5%) and PSU Bank (-0.5%) declined the most.
On Monday, the market status was changed to an Uptrend Under Pressure. We will change the status to a Downtrend if more distribution days are added or if Nifty fails to reclaim its 50-DMA and market leaders show signs of deterioration in their price actions. On the flip side, the status will be changed back to a Confirmed Uptrend if Nifty retakes the 18,604 level (the high during the recent rally). Proceed with caution. Stocks slipping below their 50- and 200-DMA on above average volume should be sold. Consider exiting stocks that have declined 8% from the buy price.
Housing Development Fin. will issue secured redeemable non-convertible debentures (NCDs) on private placement basis with an issue size of Rs 2,000 crore and option to retain over-subscription of up to Rs 8,000 crore. The bonds have a coupon rate of 7.05% per annum.Indian Oil paid Rs 2,424 crore dividend to the Government. In FY22 so far, the government received Rs 20,222.4 crore from central public sector enterprises.
- Tarsons Products will list on the exchanges today. The issue price was fixed at Rs 662 per share.