Today’s Market Summarised

Nifty opened with a gap-up at 12,961, boosted by Reliance’s big gap. But the index did not sustain and fell sharply to reach a day-low near 12,820. After taking this support, the index bounced back to easily create a fresh all-time high at 12,968. The index consolidated and closed at 12,926.45, up 67.40 points or 0.52%.

Bank Nifty opened the day with a slight gap-up with the positivity surrounding banks, but quickly fell. The index fell almost 600 points, but recovered quickly after 10 am. IndusInd Bank was the top performer from Banks. The index stayed volatile and closed at 29,024.20, down 211.80 points, or 0.72%.

Nifty IT was a consistent performer over the day and closed as the day’s top gainer. Pharma stocks also gained, while Finance stocks including banks fell.

Asian markets are mixed today. European markets are currently trading with gains.

News Picks

Reliance stock rebounded today after multiple days of fall. The stock closed at Rs 1,950.70, up 2.70%. This came after the multiple positive news surrounding the company.

IndusInd Bank closed the day at Rs 849.75, up 4.78% after RBI’s recent plan stating that promoter holdings in banks can be increased. We had clearly predicted that such a move may happen in the bank. It was Nifty’s top gaining stock today.

Bajaj Finserv continued its rally and gained more than 2.7% to close at Rs 8,774.35. We are creating a full length article on the RBI report from last day.

Stocks linked to rural agricultural stocks have been moving up consistently. Stocks like Balkrishna Industries can be watched in my personal opinion. The stock has closed at Rs 1,675, up 3.88%.

India’s heavyweight private banks Kotak Mahindra Bank and HDFC Bank touched fresh all-time highs today even though they closed flat.

IDFC, IDFC First Bank both jumped after the report suggested by RBI committee. On similar lines, Ujjivan and Ujjivan Small Finance jumped too! And many many more, including Equitas and Equitas Small Finance Bank. Check the charts to understand the extent of the jumps.

Markets Ahead

A very HUGE resistance is forming for Nifty near 12,960. Open the charts and mark the levels folks, because this level seems as crucial or even more important than 13,000. Stocks linked to rural sector have been going up silently. Keep watching stocks which directly and indirectly do business in rural areas. Your next multibagger may be from companies which serve India’s sector. Small Finance Banks are expected to continue their rally, and I am still hoping that insurance stocks will give a big move soon.

Hope you will all tune in to The Stock Market Show tonight. Keep watching this space for more.