News Shots

Yesterday, we heard the news that we all have been waiting to hear – a COVID vaccine being approved for public use and commercial rollout. UK approved Pfizer-BioNTech COVID vaccine. They are planning a rollout starting next week. 

Bharti Airtel has increased its stake in Bharti Infratel, through a wholly-owned subsidiary acquiring an additional stake of 4.94%. The value of the transaction is around Rs 2,882.32 crore. After the transaction, Nettle owns a total stake of 18.62% in Bharti Infratel.

Wipro has been awarded a multi-year contract from US-Based FinTech company Verifone to better their cloud service offerings. The Indian IT major will develop new features, capabilities and interfaces to better the transaction processing for Verifone.

SpiceJet’s Chairman and Managing Director Ajay Singh in their Annual Report has said that the airline is planning to expand its cargo operations considerably over the next two years. This comes after the company gained experience and success in handling cargo during the lockdown.

Popular tyre manufacturer CEAT has associated with Japanese automaker Nissan Motor. CEAT’s tyres will be equipped in the carmaker’s latest subcompact SUV, Magnite.

Global energy giant, ExxonMobil, is in talks to buy stakes in oil and gas fields all over India, Oil Minister Dharmendra Pradhan has said. ONGC and OIL India can be watched.

Coal India has reported an overall increase of 8 per cent in offtake of coal to 51.3 million tonnes last month. This increase has been boosted by the demand for coal from non-power sectors.

One of the promoters of HDFC Life Insurance Company, UK’s Standard Life, is planning to raise up to Rs 1,770 crore by selling up to 2.78 crore shares of the insurance company through a block deal today

Mining giant NMDC has been cleared to mine iron ore from Donimalai area of Ballaro district by the Ministry of Mines.

Taking advantage of the recent spike, Adani Logistics has sold another 9.59 lakh shares of Snowman Logistics at Rs 55.64/share. On Tuesday, they had sold 11.56 lakh shares of Snowman Logistics at Rs 56.73/share.

Promoters Gautam S. Adani and Rajesh S. Adani has revoked a pledge on a huge number of shares in Adani Enterprises, Adani Transmission, and Adani Ports.

Promoter Tata Sons have bought additional 18.07 lakh shares (0.71%) in Tata Chemicals at Rs 420.92 per share.

What to expect today?

Yesterday, NIFTY was highly volatile, just as we expected. It opened flat, moved up till the previous day’s high of 13,130 and then fell steeply till 13,000 after the vaccine news hit the market. 13,000 acted as a strong support and then NIFTY moved back up strongly and closed just above 13,100. Click here for a detailed analysis of yesterday’s market and stock movements. 

Bank Nifty also fell similar to NIFTY but couldn’t recover like NIFTY did. Bank Nifty saw a low of 29,150 yesterday and then closed around 29,500. 30,000 is acting as a strong resistance for Bank Nifty.

Metal and Realty stocks continued to do well in the market. We also saw multiple NIFTY heavyweights gaining well yesterday.

After the vaccine news broke out, Pfizer India stock price shot up but cooled down later. Interestingly, Panacea Biotech surged with huge volume and closed the day with a gain of 20%. Panacea Biotec is working along with Serum Institute for developing Oxford’s COVID vaccine.

FTSE 100 (UK’s Index) was the only European Index to close in green. The US markets opened gap down and then slowly moved up to close flat. Asian markets are mixed. SGX NIFTY is trading at 13,179, which is 27 points higher, indicating a flat to gap up opening in the Indian Market. 

NIFTY is likely to trade between 13,000 and 13,200. There are resistances at 13,130, 13,150 and 13,200. There are supports at 13,050 and 13,000.

Given the SGX NIFTY levels, NIFTY might open up and even test 13,150 or even 13,200. But, I expect NIFTY to cool off and move down after that. Let’s see.

Highest Call Open Interest at 13,500, followed by 13,200. Highest Put Open Interest at 13,000, followed by 12,900.

The strong put OI built up at 13,000 suggests that 13,000 can act as a strong support.

Foreign institutional investors (FIIs) net bought shares worth Rs 357 crore, whereas domestic institutional investors (DIIs) net sold shares worth Rs 1,636 crore in the Indian equity market.

The strong FII inflow has cooled down. Let’s see if they start booking profits soon.

Keep a close watch on banks ahead of the upcoming RBI policy meet. Major private banks have been falling continuously for the last few days.

A close analysis on the NIFTY Open Interest chain suggests that a fall is incoming. This is based on pure technical analysis. Anyways, brace yourselves.

All eyes on NIFTY to see whether it will break 13,200! I personally would like to see NIFTY expire below 13,200. Even after an increase in margin requirement, there isn’t considerable fall in volume in the market or fall in volatility. Let’s see what happens today. Follow us on marketfeed app’s livefeed section to get real time updates from the market. All the best for the day!