Today’s Market Summarised

A day for bulls again in the market lead by IT and Metal. Only 2 stocks from Nifty 50 closing more than 1% down but an extremely boring day for Bank Nifty.

Nifty opened the day at 14,668 with a small gap-up and came down. In the first hour of trade, the index moved with high volatility. Support was taken at 14,610 and from there the index went up. Just like yesterday, all red candles were covered soon as Nifty moved up till the end.

After consolidating around 14,700 for a long time, Nifty closed the day at 14,724 up by 107 points or 0.73% in the day.

Bank Nifty opened at 32,913 and was consolidating heavily through the day. It could not break 33,000 and fell nearly 400 points from the opening range by 11 am. Overall, the index only traded in this 400-point zone. But afternoon, started slowly moving up. Bank Nifty closed the day at 32,827, up 44 points or 0.13%.

All sectoral indices except Nifty PSU Bank(down 1.2%) and Nifty Pharma(down 0.23%) closed in the green. Nifty Metal(up 2.5%) was followed by Nifty IT(up 1.83%) and Nifty Auto(up 1.78%). All other indices consolidated.

Asian markets mostly closed in the green. European markets are all trading flat.

News Picks

CoForge posted their Q4 net profit at Rs 133 crores, up 17% YoY and up 7% compared to the last quarter. Shares of the midcap IT company gained 17% in the day. 

Shares of other IT companies including Wipro(up 4.4%), Mphasis(up 5.44%), Mindtree(up 3.78%) and Happiest Minds(up 8%) hit new highs in the day.

IEX registered a 90% YoY growth in the volume of power traded. The stock was up 5% intraday but cooled off to close 1.7% up. You can read more about Indian Energy Exchange works here

Angel Broking Ltd plans to enter into asset management business and aims to float a mutual fund. The stock once again rallied and rested at 20% Upper Circuit at Rs 512. The stock is up 86% from its listing price of Rs 275 in its IPO exactly 7 months ago on October 6th.

Berger Paints has raised the prices of products across its portfolio by an average of around 3% this month. The company is now considering a second round of hikes soon. Stock remained unmoved.

Tata Motors moved up 3.34% with other auto stocks even as Competition Commission ordered a detailed probe against the company. 

After Tata Steel’s stellar result yesterday, the stock opened with 2% gap-down. But from there, the stock moved up more than 7%. The stock closed the day with a net gain of 2.87%.

Other Metal stocks including Hindalco(up 5%) and Jindal Steel(up 4.44%) were also up after Tata’s Q4 results.

Hero MotoCorp gained 4.5% in the day in expectation that the company will announce good Q4 results today. Bajaj-Auto is also up by 2.5%.

Adani Green Energy posted a nearly 86% rise in consolidated net profit to Rs 104 crore for Q4. The stock closed more than 3% up.

Markets Ahead

Even with a small gap-up, 33,000 remains unbroken for Bank Nifty as we had discussed all across the week. But with the strong closing from ICICI Bank and Kotak Bank, this level might be crossed soon.

IT, Pharma and SAIL have shot up this week even with Tuesday’s fall. So happily sitting with some green in my picks for the week as we discussed here on Monday.

Tata Steel’s results have totally justified the steel stocks rally over the last many months. Watching into more movement, especially from SAIL as we had talked last day. Because at more than Rs 6,590 crores, the net profits were much higher than that of many IT companies including that of Infosys. I know that is not a direct comparison and will be difficult to sustain in the long run, but still some great results.

Talking about IT companies, hope you are enjoying the rally in these stocks, including Happiest Minds being up 11% in the 3-4 days of us discussing it here.

For tomorrow, 14,800 can be watched in Nifty. If it a day of falling then 14,560-14,610 might act as a good support zone.

Hoping you had a great day in the market on the weekly expiry day. 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!