News Shots 

Eris Lifesciences has formed a joint venture with MJ Biopharm to enter the insulin segment. The 70:30 JV (with Eris holding a 70% stake) will primarily engage in the marketing and distribution of human and analogue insulins (Glargine, Aspart, Lispro) and GLP-1 agonists (Liraglutide) among other biopharma products in India. 

Tech Mahindra has acquired Activus Connect for $62 million. The acquisition will bolster Tech Mahindra’s capabilities in emerging workplace solutions and strengthen the end-to-end CX portfolio.

Lupin has entered into a distribution and marketing agreement with Biomm SA in Brazil. Under the agreement, Biomm will distribute and market biosimilar Pegfilgrastim in Brazil.

NMDC declared an interim dividend of Rs 9.01 per share for the financial year 2021- 22. It has fixed December 15 as the record date for the payment of dividend.

Force Motors total production in November stood at 1,135 units. It reported domestic sales of 772 units and exported 362 units.

Coal India aims to move 555 million tonnes Coal per year via mechanised means; India has 14 rail projects at Rs 22,070 crore cost for Coal Transport.

Dish TV India will convene a shareholders’ meeting on Dec. 30..

What to expect? 

On Friday, NIFTY opened with a small gap-up at 17,434 and moved up initially. The index faced resistance near 17,490 and fell by more than 300 points from the high. NIFTY closed the day at 17,197, down 205 points or 1.18%.

BANK NIFTY opened flat at 36,516 and after the initial up-move, followed the market by falling heavily. The index tried to move up after taking support near 36500 but continued to fall. BANK NIFTY closed at 36,197, down 311 points or 0.85%.

All the sectoral indices closed in the red except NIFTY MEDIA(+1.73%)

The US markets and the European markets fell on Friday.

The Asian markets are down. The U.S. Futures and the European Futures are trading in the green.

SGX NIFTY is trading at 17,247 indicating a gap-up opening in NIFTY.

Major supports for NIFTY are at 17,100, 17,000, 16,915, 16,880, 16,850 and 16,780. We can expect resistances at 7,200, 17,250, 17,325, 17,375, 17,450 and 17,490.

BANK NIFTY has supports at 36,000, 35,700, 35,500, 35,300 and 35,000. Resistances are at 36,500, 36,650, 36,800 and 37,000.

The highest call OI build-up in NIFTY is at 18,000, followed by 17,500 and 17,400. The highest put OI build-up is at 17,000 followed by 16,700.

BANK NIFTY has the highest call OI build-up at 37,000 and the highest put OI build-up is at 35,500. 

INDIA VIX increased to 18.46.

Foreign Institutional Investors net sold shares worth Rs 2,364 crores. Domestic Institutional Investors net bought shares worth Rs 1,649 crores. 

FII activity will be crucial today as DIIs will not be able to keep supporting the market without the contribution from the FII side. With consecutive buying in the last days, DIIs will find it hard not to run out of funds with retailers booking profits.

Several countries are imposing travel restrictions as Omicron has already spread to more than 30 countries. WHO has recommended not to impose lockdown considering economic consequences. The situation in India looks under control as of now.

Though the West had fallen much last week, the Asian markets exhibited strength last week. But the Asian markets have given a weak starting though the US and European futures opened the week in green.

We can watch 16,700 as the limit for the down-move. It will be hard for NIFTY to cross 17,600. I will be watching the levels 17,100 and 17,325 for immediate moves.

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