News Shots

The wholly owned subsidiary of Reliance Industries, Reliance Strategic Business Ventures, has acquired 2.28 crore equity shares of Strand Life Sciences for Rs 393 crore. A further investment of up to Rs 160 crore is expected to be completed by March 2023. The total investment will translate into 80.3% of equity share capital in Strand on a fully diluted basis. 

Coal India has launched a software that will help in identifying thin coal seams under the earth’s crust and improve the assessment of resources of fossil fuel using seismic surveys during the exploration process.

Dr Reddy’s Laboratories has inked a pact with US-based Citius Pharmaceuticals to sell its rights to an anti-cancer agent. 

NTPC will seek shareholders’ approval to raise Rs 18,000 crore through the issuance of bonds or debentures in its annual general meeting on September 28.

Power Grid Corporation has started work to set up the first electric vehicle charging station in Meghalaya.

Jindal Steel and Power expects to conclude the deal to sell its 96.42 percent stake in its arm Jindal Power for Rs 7,401 crore to a promoters-owned firm Worldone by this year end.

The Reserve Bank has accorded approval to Jammu & Kashmir government to acquire over 16.76 crore shares in J&K Bank on a preferential basis.

India’s largest gas importer Petronet LNG plans to set up a petrochemical complex at Dahej in Gujarat as it looks to make a foray into high margin business to hedge gas trading risks.

LIC has picked up nearly 4 percent equity shares of Bank of India through an open market transaction a day earlier.

The domestic telecom gear maker HFCL has received its board’s consent to raise up to Rs 750 crore through equity, bonds, debentures or any other securities after approval from shareholders and relevant authorities.

What to expect today?

Friday, NIFTY continued the rally, crossed 17,300, and closed 0.5% higher at 17,323. The up move was powered by Reliance which moved 4% up. You can read all about Friday’s market movements here.

BANK NIFTY broke 37,000 with ease in the first few minutes itself but could not sustain and moved down throughout the day to close 0.19% down to close at 36,761. 

AUTO, METAL, MEDIA and REALTY moved up 1% on Friday. But it was RELIANCE which powered the rally in NIFTY.

The Western markets did not make much movement on Friday. The European markets closed slightly in the red. The U.S. markets closed mixed, without making large moves.

The jobs data in the US came out negatively but the overall unemployment rate in the US has fallen drastically which is a positive thing. Anyways, it looked like the market did not take these numbers seriously. 

Asian markets are mostly up, led by Japan which is 1.75% up. The European futures and the U.S. futures are slightly down.

SGX NIFTY is trading higher at 17,390 indicating a gap-up opening in the Indian market. 

Like I wrote last Monday, let’s see if the gap up is sustained or not. There are high chances that the gap up will be sold into and NIFTY tests previous day’s high/close and price action around that point will determine where NIFTY will go. If the gap up is sustained and NIFTY moves further up, then we might witness another large rally in NIFTY.

Supports for NIFTY are at 17,200, 17,150 and 17,080. The next pivot point resistance is only at 17,580 for Nifty. We can expect 17,400 and 17,500 to act as resistances. 

The supports for BANK NIFTY are at 36,500, 36,300 and 36,000. Resistances exist at 37,000, 37,200 and 37,500.

Foreign institutional investors (FIIs) once again net bought worth Rs 768 crores, and domestic institutional investors (DIIs) also net bought shares worth Rs 668 crores in the Indian market. 

Last week’s moves in HDFC Bank and Kotak Mahindra Bank are expected to continue. Reliance also gave a rally above the level we discussed last week and will need to be watched today as well.

Most of the market participants are waiting for profit booking to kick in but NIFTY is only going up. A healthy rally usually has corrections and falls along the way. The only question is will NIFTY touch 17,500 before the fall!

Follow us on marketfeed app’s livefeed section to get real time updates from the market. All the best for the day!