The Wednesday’s Expiry Trading in the Indian equity markets was a day of downwards trending day with small pull backs.
The morning session started with the indices opening gap down and continued to go down slowly and steadily. The minor bounce back was sold into in the sudden post 2 pm sell off in the metals sector.
Finally on Wednesday Expiry trading seesion ,the Sensex 48690(-471) as well as the Nifty at 14696(-154 )closed in the negative.
The weakness was due to concerns over hike in global interest rates and bond yield due to rising commodity prices and inflationary pressures.
Sectorwise, selling pressure was seen in metals, banks, oil & gas and energy whereas auto stocks saw some buying.
It was a day where all major indices was in negative zone including metals, whereas PSU banks and media stocks managed to in positive territory.
The I T Majors like Infosys, Tech Mahindra, Wipro were the major losers in Wednesdays trading session.
The PSU sector stocks like Sbi, bank of baroda, Canara bank and Tata motors did show good strength in a falling trading day.
ONGC, PowerGrid, Bajaj Finserv, IndusInd Bank, and NTPC were on the losing side.
Most Analysts believe that the Positive Cues from the US Markets on Thursday closing will help the Indian equity markets on Friday's trading Session.
The Foreign institutional investors sold on Wednesday Rs 1260 Crores whereas Domestic institutional investors Sold Rs 704 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 volatile trading with negative bias due to the global negative sentiments.
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 Agri-Fertiliser Stocks, Banking and Financials Stocks gaining for last few days.
Pharma stocks like Glenmark Pharma , Dr Reddy’s, Lupin, Divi’s Lab, Cipla, Sun Pharma, and Cadila are expected to do good.
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.
The private banks like ICICI Bank, Federal Bank, Kotak Bank, Indusind Bank, Axis Bank, HDFC Bank will look to move further up.
NBFC’S – Bajaj Finance , PEL, Bajaj Finserve, Shriram Transport Finance will looking to move upwards as the bulls take control of the fridays trading session.
The I.T Majors like Wipro ,TCS ,Infosys, Tech Mahindra, HCL Tech, are Likely to gain if the global markets remain positive.
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 bearish 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 Financials, Metals Sector , I.T Sector, Pharma Stocks, FMCG Stocks, and Cement sector Stocks.
# 5 Banking Stocks: HDFC Bank, Federal Bank, Icici Bank, RBL Bank, Axis Bank.
#5 NBFC Stocks: PEL,Bajaj Finance, HDFC LTD, Mahindra and Mahindra financial , India bulls housing Finance.
# 5 Pharma Stocks: Glenmark Pharma, Dr Reddy’s , Lupin, Divi’s Lab, Sun Pharma,.
#5 Information Technology Stocks: Wipro, Coforge, Infosys, HCL TECH, LTTS.
#10 Other Main Stocks to watch out for on this Friday Morning in the Indian Equity Markets:
PI Industries , Motherson Sumi, Dr Reddy’s, Maruti, Bajaj Finserve, Deepak Nitrate, Apollo Tyres, Bandhan Bank, Coforge, Tata Motors.
#Stocks to Watch for Trading from LakshmiShree in-house Technical Expert Ansul Jain-
After a relatively weak trading day on Wednesday, the view is that the Indian equity markets will be looking to consolidate.
Most Analysts believe that the Positive Cues from the US Markets on Thursday closing will help the Indian equity markets in Friday's trading Session.
Best wishes for a Cheerful Friday in the Indian equity markets!
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Cheerful Trading !!
