The Monday's trading session in the Indian equity markets belonged to the bears. The trading day started with the bears bringing in severe selling pressure especially in the banking and Financials sector.
Bajaj Finance was the top loser, plunging around 6 per cent, followed by IndusInd Bank, SBI, M&M, Axis Bank, Bajaj Auto and ICICI Bank.
On the Gaining Side, It was again the I.T. Pack of HCL Tech, TCS and Infosys.
NSE Nifty closed the day at 14,637(-229) points whereas Sensex at at 49,159 (- 871 points), dragged Mainly by a selloff in financial stocks .The Main reason being the spiking COVID-19 cases which spooked investors and brought again the concerns over economic recovery.
The policy initiatives and expected decisions in the upcoming MPC announcement and Coming Q4 earnings did also play on the minds of the traders on Monday's trading session.
Most experts believe that the Nifty has to decisively move above 14,750 to break this bearish phase.
To sum up, A positive closing in the U.S. Markets on monday will help the Indian equity markets to gain some momentum and overcome the consolidation phase in the markets right now.
The Foreign institutional investors sold on Friday Rs 931 Crores whereas Domestic institutional investors bought Rs 75 Crores.
The U.S. Markets closed on Monday with positive cues as Dow Jones closed in at 33,527(+373) , S&P at 4077 (+ 58 ) whereas NASDAQ closed in at 13705 (+225).
Most experts expect the indices to continue to be in consolidation mode for the coming few days with the downward movement happening only if the US Markets come under selling pressure and FII’s don’t continue buying.
There seems to be a possibility of the banking and financial sector bouncing bank from the lows of Mondays Trade.
Private banks like Axis Bank, Icici Bank, Bandan Bank, Indusind Bank, Kotak Bank, HDFC Bank will look to consolidate and move further up from here.
PSU Banks like Canara Bank, Karnataka Bank; Bank of Baroda have seen good corrections and can be accumulated for decent gains in near future.
NBFC’S – Mahindra and Mahindra Financial Services, PEL, Bajaj Twins, Shriram Transport Finance will give good opportunity to buy on dips for April Series.
The Excellent Results expected from All Major I.T. Companies can be a big trigger for all I.T. stocks in the coming results season. The Rising Covid cases in india will act as a cue for the market participants to move to I.T. Sector like the march 2020 phase.
The I.T Majors like Wipro, TCS, Infosys, Co-Forge , Tech Mahindra, and HCL Tech are looking strong and these stocks can move up quickly from here on.
Cement stocks like Shree Cement , Dalmia Bharat ,Ramco Cement are likely to show strength as the broader market looks to maintain the upwards momentum .
Pharma stocks like Glenmark Pharma, Dr Reddy’s, Lupin, Divi’s Lab, Cipla, Sun Pharma, and Cadila are expected to do good in the near term.
The stocks to keep an eye on in the Indian equity markets will be the I.T Sector, Banking Sector, NBFC Sector , Pharma Stocks, FMCG Stocks, and Cement sector Stocks.
# 5 Banking Stocks: RBL Bank, Indusind Bank, Axis Bank, ICICI Bank, Federal Bank.
#5 NBFC Stocks: PEL, Bajaj Finance, HDFC LTD, IBull Housing, Shriram Transport.
# 5 Pharma Stocks: Glenmark Pharma, Cipla, DrReddy’s, Divi’s Lab, Lupin.
#5 Information Technology Stocks: TCS, HCL TECH, Co- Forge, Infosys, Mastek.
#10 Other Main Stocks to watch out for on this Tuesday Morning in the Indian Equity Markets:
Bharti Airtel, Petronet, Tata Consumer, Tata Power, Adani Enterprise, Kotak Bank, Reliance, Deepak Nitrate, Adani Port, Graphite
#Stocks to Watch for Trading from LakshmiShree in-house Technical Expert Ansul Jain-
6TH April Stock Picks — Bharti Airtel, Petronet, Tata Consumer, Tata Power.
( Watch YouTube Video Analysis here – https://youtu.be/X_f9Eg__Fro )
After a weak trading day on Monday, the view is that for the Indian equity Markets the bulls will need strong buying from Fii’s to resume for it to decisively cross the 14750 Nifty levels on Tuesday.
Most Analysts expect the markets to reach new highs in this April expiry.
INDIAN EQUITY MARKETS THIS TUESDAY MORNING!
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Cheerful Trading !!
