The Thursday’s Expiry Trading in the Indian equity markets was a Volatile Session with Markets showing strength towards the closing bell.
The Indian Equity markets recovered from the early jitters in the morning on the Weekly expiry Day. The nifty closed strongly towards the expiry at 14581 levels (+76) in a trading day of ups and downs swings.
Sensex at closing bell was up 260 points to end at 48803 levels.
TCS was very strong with a 4 per cent gain along with ONGC, ICICI Bank, HDFC Bank, Dr Reddy's, HDFC and HCL Tech.
On the losing side was Infosys, Maruti, IndusInd Bank, Nestle India and Bajaj Finance.
The Second half of the Trading session saw a sharp recovery mainly led by financials and Pharma Sector.
Infosys witnessed profit booking while TCS recovered smartly from the Tuesday’s lows. Strong buying was seen in other IT majors in anticipation of sustained growth potential.
The Auto Sector seem to be under pressure due to the economic impact of strict curbs imposed by Maharashtra government
Overall , the Indian equity Markets are evenly poised for the last day of weekly trading session.
The bulls and the bears both will see an opportunity to profit from the Fridays trading session.
Most Analysts believe that the Cues from the Global Markets will play a major role in the direction of the markets in the near term.
The U.S. Markets closed on Thursday with positive cues as Dow Jones closed in at 34,035(+305) , S&P at 4170 (+45 ) whereas NASDAQ closed in at 14,038 (+180).
The Foreign institutional investors sold on Thursday Rs 730 Crores whereas Domestic institutional investors bought Rs 243 Crores.
FII’s resuming to buy will be a key factor going forward in deciding the direction for the Indian equity markets.
Most experts expect the indices to continue to be an upward trending marker for the coming few days if the global markets are positive.
Normally most traders look to book profits on the last day of the week and go with fewer trades for the next week.The second half of the session can be volatile trading session.
There seems to be Sector rotation happening with the Pharma and I.T. coming into the limelight on Thursday.
Cement stocks like Ultra Tech Cement , Ambuja Cement, Grasim , Shree Cement , Dalmia Bharat , Ramco Cement are likely to continue their strength in the coming days.
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 private banks like Federal Bank, Kotak Bank, Indusind Bank, Axis Bank, HDFC Bank will look to consolidate and move further up from the Thursday’s session.
PSU Banks like Canara Bank, Karnataka Bank; Bank of Baroda are well set for decent gains in near future.
NBFC’S – Bajaj Finance , Mahindra and Mahindra Financial Services, PEL, Bajaj Finserve, Shriram Transport Finance will looking to move upwards as the bulls take control of the fridays trading session.
With the I.T. Results season happening and the Indian Rupee weakening, The I.T Majors like TCS ,Infosys, Tech Mahindra, HCL Tech , Wipro are Likely to gain.
Also Tata Motors, Ashok Leyland, Maruti, Gujarat Pipavav, are expected to regain the positive up move in the near term.
The general Sentiments in the market seemed to have turned positive with traders awaiting global cues to take a call on which way the markets may move 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: Kotak Bank, Federal Bank, Icici Bank, RBL Bank, Indusind Bank.
#5 NBFC Stocks: Bajaj Finance, HDFC LTD, Mahindra and Mahindra financial, PEL, Shriram Transport.
# 5 Pharma Stocks: Glenmark Pharma, Dr Reddy’s , Lupin, Divi’s Lab, Sun Pharma,.
#5 Information Technology Stocks: TCS, Infosys, Wipro, HCL TECH, LTTS.
#10 Other Main Stocks to watch out for on this Wednesday Morning in the Indian Equity Markets:
Reliance, HDFC LTD, Escorts, DLF, PNB, Deepak Nitrate, Graphite, Gujarat Pipavav, Tata Motors , Ashok Leyland .
#Stocks to Watch for Trading from LakshmiShree in-house Technical Expert Ansul Jain-
(Watch YouTube Video Analysis here – https://youtu.be/IAwlX5zt63c )
After a relatively positive trading day on Thursday, the view is that the Indian equity Markets will be looking to consolidate and look to Global cues to decide on the near term direction.
The positive cues from the US Markets will emboldened the Bulls to take the markets towards 14800-14900 levels…
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Cheerful Trading !!
