Today’s Market Summarised

A boring day for Nifty and Bank Nifty with a rangebound movement in the whole day but Pharma and Metals again performing in the day.

Nifty opened the day at 14,933 with a 100-point gap-up. Banks and IT kept the index volatile but kept cancelling each other out. After trading in a 75-point range for the whole day, Nifty closed at 14,942, up 120 points or 0.80%.

Bank Nifty opened at 33,222 and tried falling. 33,000 was taken as support and the SBIN tried to take the index up. 33,300 was taken a resistance and this was the range for the day. Bank Nifty closed the day at 33,142, up 238 points or 0.72%.

All sectoral indices closed in the green. Nifty Metal(up 3.14%), Nifty Pharma(up 2.80%) and Nifty Media(up 2.50%) performed the best.

Asian markets closed mixed in the day. European markets are all trading flat.

News Picks

Cipla, Natco Pharma, Sun Pharma & Lupin entered into an agreement with Eli Lilly for Baricitinib. Nifty Pharma closed in the green with all stocks in the index closing in the green. 

Torrent Pharma(up 5.8%) hit a new 52-week high with good buying.

Zydus Wellness net profits went up 92% YoY to Rs 133 crores for Q4. Profit booking kicked in and the stock fell 5% from the day high and closed flat.

NMDC may hike iron ore prices by up to Rs 500/tonne for May, on the back of a global increase in prices. Stock closed up 8%.

Coal India went up 7.5% up in the day with high volumes. The Public Sector Unit said it will continue with the supply of coal to the power plants under import substitution this year.

Keki Mistry, CEO of HDFC, said that demand for loans have been strong and increasing every month. The stock closed 1.3% up in the day.

IDFC First Bank reported sharply higher profit at Rs 127.81 crore in Q4FY21 against Rs 71.54 crore in Q4Y20. Profit booking kicked in and the stock closed 2% down. 

Tata Power board to consider issuing NCDs, bonds and other debt securities on a private placement basis on May 12. The stock closed up by 7%.

The Nifty 50 top gainers list is mostly filled with Metal and Pharma stocks. Coal India(7%), Hindalco(6%) , TataSteel(2.8%), Dr Reddy (2.9%), Sunpharma(2.7%), Divislab(2.7%) featured in the list.

National Aluminum went up 10% in the day, along with Hind Copper(up 10%).

PSUs including BHEL(up 13.5%), BEML(up 7%) and BEL(up 5%) are on a bull-run.

Petrol price in Maharashtra hit Rs 100 mark. Rising fuel rates took IOC 4.7% up, BPCL(up 2.3%) and Hind Petro(1.7% up).

Angel Broking continued its amazing rally and hit Upper Hit again. It has now moved 60% in five trading days.

UPL gained more than 7% after broking firm CLSA maintained a bullish outlook ahead of Q4 results announcement on Wednesday.

HeroMotoCorp extended the shutdown of their units and is down by 0.8%. Only 3 Nifty 50 stocks fell more than 1%. 

Cement stocks like ShreeCem(1.9%), UltraTech Cement (1.2%) and Grasim(0.35%) ended in loss.

Markets Ahead

The fears on Friday of a national lockdown was gone over the weekend. Hence even SGX Nifty was above 15,000 level in the morning. But yes, this level was not even touched by Nifty today. 

Ended as a day of net consolidation with most large-cap stocks moving sideways. 15,000 looks like a possible level for this week seeing HDFC Bank’s bullish close today. But I will be looking for 15,050 as an important level than 15,000 as this was April’s highest level.

Reliance still looks bearish, more than 5% down from its 30-day high. Expecting a sideways move from the stock.

Hence all eyes lie on Private Banks and HDFC, with them having the highest weightage in Nifty. 33,300-33,500 being broken in Bank Nifty might bring some positiveness to the index.

Do keep in mind that it is a 4-day market week, with Thursday being closed for Ramzan. Hence the weekly expiry will be on Wednesday.

Hoping you had a great day in the market today. And as always, stay safe and stay home if you can. Keep studying charts and improve your skills.

Catch you all on The Stock Market Show tonight!