Today’s Market Summarised

Nifty stayed volatile during the day, even as the week ended with heavy consolidation. And with today’s green candle, the index has closed with gains for the week, now three times in a row.

Nifty opened with a gap-up at 12,816 and consolidated for a good long while. But the index fell soon, to take support near 12,730 which has been a well-respected level. Nifty then started to carefully move but shot up with the confidence from the green markets across Europe. The index finally closed the day at 12,859.05, up 87.35 points or 0.68%. This was only a gap of 43 points from the day’s open.

Bank Nifty too opened the day with a gap-up at 28,946. The index failed to sustain above the 29,000 mark and soon fell. After taking support at 28,577, Bank Nifty moved back up to create fresh day-highs. Kotak Mahindra Bank and HDFC Bank together took up the index. Bank Nifty closed at 29,236, up 332.95 points, or 1.15%.

Nifty Financial Services performed the most today, with the rally of Bajaj twins. Banks, FMCG and IT also went up significantly.

Asian markets closed nearly flat today. European markets are currently trading in green with modest bullishness.

News Picks

Shares of Bajaj Finserv skyrocketed today after nearly 3 weeks of rallying up. Shares of the company almost touched its 10% upper circuit and closed at Rs 8,548, up 9.27%. It was the top gainer Nifty 50 stock today. The stock has gained more than 50% in the last 14 days of trade. A subsidiary of the company, Bajaj Finance, also went up to close at Rs 4,715.85, up 3.95%.

Shares of both Bharti Infratel and Vodafone Idea jumped after the completion of the merger between Indus Towers and Bharti Infratel was completed. Vodafone Idea received around Rs 3,750 crores in cash for its stake in Indus. Infratel shares closed at Rs 219.05, up 17.83% after coming down from the 20% level. Meanwhile, Vodafone Idea closed at Rs 10.05, up 8.65%. marketfeed will be writing a detailed article on this very interesting deal.

With favourable market conditions, unlike yesterday, Titan went up to feature in the top-gainers list today. Shares of the company closed at Rs 1,365.15, up 5.62%.

Reliance went down the most in Nifty today. It pulled the index down heavily, as well. Shares of the company closed below the 1900-mark, at Rs 1,899, down 3.73%. The Future Retail-Amazon case is still dragging along in courts. You can read all about the issue here.

Pharma stocks were net losers, with multiple companies featuring in the top-losers list. When will they bounce back?

Markets Ahead

The major indices mostly consolidated today. Even with the huge rally from the Bajaj Twins, Nifty Financial Services could not gain much without the help of banks. Nifty too is consolidating in its daily chart, if you ignore the intraday movements. Auto sector, although muted today, gained the most this week followed closely by PSU Banks and Realty. Pharma fell the most this week. Insurance companies, like HDFC Life, have been slyly moving up, in between the rally of major indices. You might want to look into them too.

Also, cannot help but wonder if Reliance’s continued fall will actually pull Nifty down this time. Last time the heavyweight fell, Banks actually compensated to take Nifty up. Can they do it this time?

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