Today’s Market Summarised

Nifty once again moved down in the day, with bears not letting go.

Nifty opened the day flat at 15,812 and was volatile. But after 10 AM, the index moved in a 60-point zone for nearly 4 hours. Towards the end, Nifty turned even bearish and created fresh day-lows. Nifty closed the day at 15,748, down 66 points or 0.42%.

Bank Nifty opened at 35,323 and moved down. For most of the day, the index moved in a 130 point zone, even tighter than yesterday. Just after 2 PM, the index fell even below 35,000, but still somehow climbed back. Bank Nifty closed flat at 35,010, down 350 points or 0.99%.

Nifty PSU Bank(-1.4%) fell the most after gaining for many days. Nifty Metal also fell 1.22% while all other sectors consolidated.

Most Asian markets closed in the red today. European markets are all trading flat in the green.

News Picks

Powergrid(+1.79%) and NTPC(+1.25%) returned to the top of Nifty 50’s table with decent gains in the day.

Cipla(+1.72%) gained in the day after getting emergency approval for usage of Moderna’s Covid-19 from DCGI.

Marico(+5.5%) gained sharply in the day and hit an all-time high market capitalisation. The stock rallied after Credit Suisse raised the target price of the stock to Rs 600. 

Apollo Hospital(+3.9%) once again moved up after most brokerages talked positively about the company unlocking more value from its businesses in the coming future. The share has gained nearly 12% this week.

National Aluminum(-3.6%) fell in the day after profit booking from yesterday’s rally. Other metal stocks including JindalStel(-2.3%), SAIL(-2.18%), Hindalco(-2.11%) and Coal India(-1.8%) closed in the red.

With crude oil falling nearly 2% ahead of the OPEC meeting, related stocks including IOC(-2.4%) and ONGC(-2.4%) closed as Nifty’s top-losers.

Bank Nifty remained weak in the day and Kotak Bank(-1.5%) and ICICI Bank(-1.5%)  closing in Nifty 50’s top-losers. Interestingly, IndusInd Bank(+0.9%) closed in the top gainers list.

American adhesives manufacturing company, H.B Fuller has signed a distribution agreement with Jubilant Agri and Consumer Products Limited. Jubilant Industries closed 7.8% up.

Heritage Foods launched Heritage Tikka Paneer. The stock closed 7% up.

Fertilizer stocks NFL(+0.99%), RCF(+.99%), ChambalFert(+5.22%) and FACT(+5.99%) closed in the green with small gains. 

Department of Telecom said it is not in favour of merging BSNL with MTNL(Mahanagar Telephone Nigam Limited). MTNL closed 2.2% down. 

Gujarat Mineral Development reported Q4 consolidated net loss at Rs 185 crores vs profit of Rs 12.3 crores last year. GMDC fell sharply and closed 5.5% down.

IRFC reported Q4 standalone net profit at Rs 1,483 crores, up 41% compared to last quarter. The stock moved 6% up in a single 5-min candle after the results and closed 2.2% up.

Markets Ahead

Weakness continued from yesterday in the market. Nifty continued in a bearish channel from yesterday with support at 15,680-15,720 zone.

There is a general weakness in the market with even small-caps and mid-caps closing in the red. 

Bank Nifty has closed touching the 20-day moving average, and a breakdown could see the index moving back to 34,500. But hoping that the index takes support in this zone. Nifty is also at its 20-DMA and tomorrow’s move would be decisive. 

Global markets are also not showing strength, so let’s look at the U.S. markets for some positivity tonight. India VIX being so low, now at 13, but still market moving with volatility. It is truly a market never seen in the last 1 year!

Otherwise, expecting the sideways and slightly bearish market to continue.

Catch you all on The Stock Market Show tonight!