This Wednesday, it is to be seen whether the nifty resume its upward journey towards 14000 levels. On Tuesday, the Indian equity markets opened under pressure and were showing signs of going into a deeper correction.
Most of the Stocks did trade in the red in the morning session and nifty did slide towards 13200 and bank nifty towards 29200.
In the afternoon, The Bank nifty did break the crucial level of 29200 and was trading around 29100.
Then the cues from the European markets gave a trigger for the markets to recover and the buying resumed across the sectors.
I.T, FMCG and Pharma lead the way with Banking and financials recovering from the morning lows.
Most of the I.T. Stocks like Infosys, HCL Technologies, Tech Mahindra closed with nearly 5 percent gains whereas the midcap and small-cap I.T Stocks nearly gained 10% +.
Finally, the Nifty closed at 13,466 (+137) levels on Tuesday.
The Sensex closed at 46,006(+452) whereas Bank Nifty closed in positive at 49,626(+169) levels in the Indian equity markets on Tuesday.
It will be interesting to see if the Indian equity markets continue the gain on Wednesday in its upward journey towards 14000 levels this month.
The Monthly expiry happening on Thursday will be an important factor playing in the minds of both the Bulls and Bears.
The Analyst anticipates a positive opening on Wednesday in the Indian equity markets.
The Foreign institutional investors did buy on Tuesday with Buy figures at Rs 1153 crores.
The Domestic institutional investors did Sell on Tuesday with Sell figures at Rs611 crores.
The U.S. Markets closed on Friday with DOW JONES closing at 30,015(-200), S&P closing at 3694(-14), and NASDAQ closing at 12807(+65). The U.S Markets closed mixed on Tuesday with NASDAQ showing strength and DOW JONES closing in the negative territory.
Many analysts believe that Indian markets will be consolidating in the coming days.
The I.T. stocks will look to give strength to the markets whereas the financial stocks will try to regain from the lows made in the last few trading sessions.
Most Analysts anticipate that in the coming days the I.T will be taking the lead from the other sectors.
The Infosys Results are due on 13th Jan2021 and the analysts have high expectations of the I.T. Sector delivering excellent results.
Technology Sector: The Sector to watch out for on Wednesday in Indian Equity Markets.
All the I.T. Stocks like Infosys, Tech Mahindra, HCL Technology, TCS, L&T Technology and the midcap and small caps Like Co Forge, NIIT LTD, L&T Technology, Tata Elxsi, and MindTree will be in the limelight on Wednesday too. These stocks all had a good positive day on Tuesday.
The Large Caps like Dr. Reddy’s, Divi’s Lab, and L& T which is critical for the nifty to continue its upward move along with support from I.T. Sector.
Pharma stocks like Lupin, Sun Pharma, Dr. Reddy’s, Cipla, Sun Pharma, and Divi’s Lab had a Positive closing on Tuesday and will look forward to continuing the up move on Wednesday.
The NBFC stocks continued its weakness on Tuesday too and it will be interesting to see if more corrections happen or it is able to recover from these levels.
The Stocks to watch out for on Wednesday will be Bajaj Finance, Bajaj Finserv, Hdfc, LIC Housing finance, and smaller stocks like L&T Financials, Mahindra, and Mahindra financial services.
The private banks like Indusind bank, HDFC Bank, Kotak Bank had a negative day on Tuesday. It is to be seen if they can stabilize and start moving upwards again.
Insurance Stocks like Hdfc Standard life, Sbi life had a positive day on Tuesday.
Most Analysts expect Energy stocks to do well in the coming days. Stocks like IGL, MGL, ONGC, Coal India and BPCL had a positive day in trade on Tuesday.
FMCG stocks too had a flat day on Tuesday with Dabur, Britannia, and HUL closing mildly on the positive side.
The stocks to keep an eye on in the Indian Equity Markets will be the I.T Stocks, Energy Stocks, Pharma Stocks, FMCG Stocks, Banks, and NBFC Stocks.
# Information Technology Stocks:
Infosys , HCL Technologies, MindTree, Co-Forge, L&T Technology
# Banking Stocks:
HDFC Bank, IndusInd Bank, Kotak Bank, RBL Bank, Axis Bank.
# NBFC Stocks:
Bajaj Finance, Shriram Transport, HDFC, Piramal Enterprise Limited, Bajaj Finserve, Shriram Transport.
# Pharma Stocks: Cadila, Cipla, Sun Pharma, Dr. Reddy’s, Divi’s Lab.
# Other Main Stocks to watch out for on this Monday Morning in the Indian Equity Markets:
Reliance, Adani Port, Bharti Airtel, HDFC Standard Life, Sbi Life, BPCL, ONGC, Bharat Forge, Maruti, Ashok Leyland.
Many analysts believe that the I.T. and Pharma Stocks will show strength in the coming days in the Indian equity markets.
Infosys, HCL Technologies, MindTree, Co-Forge, L&T Technology
IGL, MGL, Adani Port, Bharti Airtel, HDFC Standard Life, Sbi Life, BPCL, ONGC.
-Co & Metro AG signs strategic deal & IT deal with an estimated value for the first 5 years of approximately $700 million.
-Wipro also opens a share buyback worth Rs.9,500 cr on Dec 29th, 2020 and closes on Jan 11th, 2021.
-Co & Daimler announces strategic partnership.
-Domino’s introduces India’s first plant-protein vegetarian pizza, so keep an eye on that stock as well.
-MoU with Maharashtra government for proposed investment of Rs.650 cr.
Aster DM
-To set up a chemical excellence hub in Cayman Islands positively.
-Revises outlook on long term bank facilities to ‘positive’ from ‘Stable’.
Some more stocks you should have on your list are Asian paints, Naukri & Nestle.
Tips Worth following for becoming a successful trader and investor in the Indian equity markets.
“Your Success Depends on your ability to maintain self-control and execute trades according to a specific trading plan in a calm and unemotional manner”.
“Best wishes for a Wonderful Trading Wednesday in the Indian Equities Markets!”
Cheerful Trading !!
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