MarketsmithIndia Articles

SGX Nifty Indicates Positive Opening; Biocon and Bajaj Finserv to Declare Q4 Results Today

April 28 2021
At 8:30 am IST, SGX Nifty Futures was trading at 14,750 , compared with Nifty’s close of 14,653  yesterday.

Market Pulse: Rally Attempt

Global stock markets: Dow30, +0.01%; S&P 500, -0.02%; Nasdaq, -0.3%; Nikkei, +0.4%; Kospi, -0.9%

Nifty opened flat yesterday, gradually moved higher, and closed near the day’s high. As gains were less than 1.5%, we did not consider it a follow-through day. Note that even though market breadth has improved and Nifty reclaimed its 21-DMA, volumes were comparatively lower on Nifty and the index is still below its 50-DMA. On the sectoral front, all sectors closed in the green. Nifty Metal (+2.7%) was the top gainer, followed by Nifty Bank (+1.5%). FIIs were net sellers (Rs 1,454 crore), while DIIs were net buyers (Rs 1,463 crore).

Looking ahead, we would prefer to see a follow-through day before shifting the market to a Confirmed Uptrend. A follow-through day is a solid up session, generally a 1.5% or higher gain, with volume higher than the previous day. Should this occur, the focus will be on ideas breaking out of early-stage base patterns and showing the best relative strength with good accumulation. On the flip side, Nifty is still below its 50-DMA and about 5% off its last high. So, if it breaches its recent low of 14,151, the market will be moved back to a Downtrend.

Key News

Key Q4 FY21 results today: Biocon (Nse)Bajaj Finserv, and Uti Asset Management Company.

Axis Bank’s Q4 FY21 NII grew 11% y/y to Rs 7,555 crore. It reported PAT of Rs 2,677 crore against loss of Rs 1,388 crore in Q4 FY20. GNPA stood at 3.70% versus 3.44% in Q3 FY21, while net NPA stood at 1.05% versus 0.74% in Q3 FY21.

T V S Motor’s Q4 FY21 results beat estimates on all fronts. Revenue grew 52.9% y/y to Rs 5,321 crore. Margin expanded 310bps y/y to 10.1%.

Britannia Inds.’s Q4 FY21 PAT and margin missed estimates, while revenue was in line with estimates. PAT was down 3.3% y/y to Rs 360 crore. Revenue grew 9.2% y/y to Rs 3,130. Margin expanded 30bps y/y to 16.1%.

O’Neil Market Condition Report

For the 24 emerging markets tracked by our institutional research team, the market status breakdown is as follows: Confirmed Uptrend, 30%; Rally Attempt, 12%; Uptend Under Pressure, 52%; Downtrend, 6%.

For the 24 developed markets tracked by our institutional research team, the market status breakdown is as follows: Confirmed Uptrend, 65%; Rally Attempt, 10%; Uptend Under Pressure, 25%; Downtrend, 0%.

What do you think? Please email us any questions or comments.

Disclaimer: Information contained herein is not and should not be construed as an offer, solicitation, or recommendation to buy or sell securities. It is for educational purposes only.For more information, see our Legal disclosures here.

Related Article