Banking, FMCG and IT stocks took losses after three sessions of losses in equity indices on Monday amid a positive trend. The 30-share BSE Sensex closed 326.8 points higher at 53,234.7 while the Nifty closed 0.5% higher at 15,835.
stock market todayThings to know before opening the bell
global market signals
US markets remained closed on Monday for the Fourth of July public holiday. Meanwhile, European stocks rose 0.8% and Britain’s FTSE over 1% on gains in oil and gas companies.
Asian shares rose more than a percentage point with the Nikkei in Japan, while the Topix index rose 0.6%. South Korea’s Kospi also advanced more than a percentage point while the Kosdaq rose nearly 3%.
key factors to watch
Analysts say strong June auto sales numbers, improving GST collections, record property registrations in Mumbai, expectations of a good monsoon and soft commodity prices supported domestic indices despite a volatile and uncertain global environment.
Going forward, during the week, markets will take cues from the minutes of the US Fed meeting (Wednesday). The June quarter earnings season will begin with TCS reporting its numbers on Friday followed by Avenue Supermart on Saturday.
SGX Nifty
SGX Nifty has indicated volatility in the Indian stock markets on Tuesday. Singapore Nifty (SGX Nifty) is the Indian Nifty that is traded on the Singapore Stock Exchange and is considered the first sign of the opening of the Indian markets.
Nifty Technical Outlook
“A permanent bounce in Nifty on Monday indicates a sharp bounce in the market to come. Following a false upside breakout of the critical overhead resistance at 15850 levels (resistance as per the concept of change in polarity) on 27 June, the market has shifted into a range movement and has repeatedly tested the barrier over the past few sessions. Nagraj Shetty, Technical Research Analyst, HDFC Securities said, “The positive sequence of high tops and bottoms is intact and a new high top off sequence can be expected in the next few sessions.”
Rupak Dey, Senior Technical Analyst, LKP Securities said, “In the short term, Nifty index may move towards 16000/16200. At the lower end, support is visible at 15700/15500.”
FIIs DIIs Activity
Foreign Institutional Investors (FIIs) remained net sellers in the capital market as they sold shares worth 2149 crore on Monday while DII bought 1,688 crore as per exchange data. So far in 2022, FIIs have sold more than Indian equities 2 lakh crore, weighing on both the Indian markets and Rs.
“FIIs are still selling out but the momentum has come down significantly. Hence, if the global markets remain stable, the bulls will look for a relief rally,” said Santosh Meena, Head of Research, Swastika Investmart Ltd.
oil prices
Oil rose as investors weighed solid physical market cues against worries that a global slowdown would dampen demand. Oil remains up more than 40% this year after a boost from the war in Ukraine, which triggered a wave of sanctions on Russian flows.