Nifty, 0.1%; Sensex, 0.3%; Nifty Midcap, -1.7%; Nifty Smallcap, -2.3%; Model Portfolio, -2.8%.
Market Pulse: Confirmed Uptrend
Distribution Day Count: Three
Nifty started the day on a negative note and continued to trade lower in the first hour of the session. The index made a low of 17,968 and then staged a recovery from that point. However, it remained range-bound throughout the day. Nifty managed to end the session on a positive note at 18,125. ICICI Bank remained the saving grace of the day as the stock moved up 11.5% during the session.
The broader market indices remained under pressure. Of 2,063 stocks traded, 535 stocks advanced, 1,477 declined, and the remaining closed flat. On the sectoral front, financial indices were the top performers, with Bank Nifty and Nifty PSU Bank closing higher 2.2% and 1.1%, respectively. On the flip side, Nifty Realty and Nifty Auto slipped 2.8% and 1.8%, respectively.
Source : Google Images
One distribution day expired today, bringing the count to three. The market remains in an Uptrend, but if the index adds a couple of distribution days, stages a reversal, or breaches its key moving averages, 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.
-Srf (Nse)’s Q2 FY22 results came in marginally below estimates. Revenue increased 35.2% y/y. Margin contracted 340bps and PAT increased 21.4% y/y.
-The Ramco Cements announced Q2 FY22 results that marginally beat estimates. Revenue grew 18.8% y/y to Rs 1,493 crore. PAT rose 119% to Rs 517.1 crore. Margin contracted to 26.4% from 35.2% in Q2 FY21. Volume was 2.7M ton against estimates of 2.4M ton.
-Colgate-Palmolive India’s results came in below estimates. Revenue increased 5.2% y/y. Margin contracted by 220bps and PAT decreased 1.9% y/y.