Nifty, +0.9%; Sensex, +0.8%; Nifty Midcap, +1.2%; Nifty Smallcap, +1.0%; Model Portfolio, +0.2%.
Market Pulse: Confirmed Uptrend
Distribution Day Count: Four
Nifty started the session with a gain of more than 100 points. Within the first 15 minutes, the index was down nearly 200 points which indicates volatility in the current market. From the day’s low, the index progressed to close near the day’s high on good buying. Of the Nifty50 stocks, 80% advanced, led by Titan Company (+4.3%) and Indian Oil (+4.3%).
Most sectoral indices closed higher. Nifty PSU Bank (+2.2%) was the top gainer, followed by Nifty Metal, Media, Realty, and IT which gained 1.2-1.5%. Of the 2,101 stocks traded, 1,101 advanced, 910 declined, and the remaining closed flat.
Today, one distribution day expired due to the 25-trading-sessions rule. The distribution day count has decreased to four. If the market succumbs to selling pressure and breaches its 50-DMA, we may change the market status to an Uptrend Under Pressure. Reducing exposure to stocks breaking below their 21- or 50-DMA on higher volume is important.
-Inox Wind bagged an order for a 150MW wind power project from NTPC Renewable Energy. The project will be executed on a turnkey basis in Gujarat and is scheduled to be commissioned by April 2023.
-Karur Vysya Bank’s Q2 FY22 NII increased 13.1% y/y to Rs 680.3 crore. PAT surged 44% to Rs 165.5 crore. Asset quality improved, with GNPA at 7.4% against 8% q/q and NNPA at 3% against 3.7% q/q.
-Balrampur Chini Mls(Nse)’s Q2 FY22 revenue declined 5.9% y/y to Rs 1,213 crore. PAT increased 6.1% to Rs 83 crore. EBITDA margin improved to 11.1% from 9.9% y/y.
-Wockhardt announced Q2 FY22 results. Revenue was up 20.7% y/y to Rs 862 crore. It reported a profit of Rs 33.5 crore compared with a profit of Rs 3.3 crore y/y. EBITDA margin came in at 11.1% versus 2.4% in Q2 FY21.