It will be a very interesting Markets This Thursday Morning in the Indian equity markets as positive cues from the U.S. about the Stimulus and Covid Vaccine will likely impact the Thursday expiry Trading.
It will be fascinating to see if the monthly expiry brings in volatility or the indices gains momentum on the back of the positive cues from the U.S.Markets.
On Wednesday, the Indian equity markets opened slightly lower but then recovered soon to trade in the green till the closing bell.
The indices traded in a narrow range for most part of the day.
Most of the Stocks did trade in the tight range in the morning session and then started to gain strength as the day progressed.
The I.T. sector from the morning itself showed very good strength on the back of Infosys and Wipro Deal Wins in Germany. All the I.T. Stocks were up anywhere between 3 to 7 percent.
Wipro closed the day with nearly 6 % gains while Infosys was 3 % up at closing Bell.
The Bank nifty too was also strong with banks recovering from the past couple of day’s weakness.
Then the positive cues from the European markets definitely gave a trigger for the markets to recover and the buying resumed across the sectors.
I.T, Banks, Financials and Pharma lead the way in Wednesday's Trading Session.
Most of the I.T. Stocks like Wipro (385 --6%) Infosys (1253 --3%), Tata Elxsi (1786--+8) closed with nearly Good gains whereas the midcap and small cap I.T Stocks were in the limelight.
Finally the Nifty closed at 13,601 (+134) levels on Wednesday.
The Sensex closed at 46,444(+437) whereas Bank Nifty closed in negative at 49,883(+257) levels in the Indian equity markets on Wednesday.
It will be interesting to see if the Indian equity markets continue the gain towards 14000 nifty levels or it will be a volatile session with correction happening on the Expiry Thursday Trading Session.
The Analyst anticipates a consolidating session on Thursday with trading happening in a range like Wednesday trading session in the Indian equity markets.
The Foreign institutional investors did buy on Wednesday with Buy figures at Rs 1153 crores.
The Domestic institutional investors did Sell on Wednesday with Sell figures at Rs611 crores.
The U.S. Markets closed on Friday with DOWJONES closing at 30,129(+114), S&P closing at 3690(+2) and NASDAQ closing at 12771(-36). The U.S Markets closed mixed on Wednesday with NASDAQ slightly negative and DOWJONES closing in the positive 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 Expect the I.T to continue to be in the limelight till the Infosys results on 13th Jan 2021. The Mega Deal won by Infosys and Wipro has already raised expectations for all I.T. Stocks for a good performance this Quarter.
Technology Sector: The Sector to watch out for on Thursday in Indian equity Markets.
All the I.T. Stocks like Wipro, Infosys, Tech Mahindra, HCL Technology, TCS, L&T Technology and the midcap and small caps Like NIIT LTD, Tata Elxsi, Co-Forge, and Mind Tree will be in the limelight on Thursday too.
Large Caps Stocks: Stock to watch out will be Reliance, L&T, Divi’s Lab, and Dr. Reddy’s
Pharma stocks like Cipla, Dr Reddy’s, Lupin, Sun Pharma, and Divi’s Lab will look forward to continuing the up move on Thursday.
The NBFC stocks recovered from their lows of Tuesday and Piramal Enterprise Ltd, Bajaj Finance led the way in the Wednesday trading session.
The Stocks to watch out for on Thursday will be Piramal Enterprise Limited, Bajaj Finance, Bajaj Finserv, HDFC, LIC Housing Finance, and smaller stocks like L&T Financials, Mahindra, and Mahindra financial services.
Private banks like Axis Bank, ICICI Bank, IndusInd Bank, HDFC Bank, Kotak Bank did recover from Tuesday’s weakness. It is to be seen if they can stabilize and start moving upwards again on Thursday.
The Insurance Stocks like Hdfc Standard life, Sbi life had a positive day on Wednesday.
Energy Stocks like IGL, MGL, ONGC, Coal India, and BPCL had a positive day in trade on Wednesday.
Most Analysts expect Energy stocks to do well in the coming days too.
FMCG stocks too had a flat day on Wednesday with Dabur, Britannia and HUL closing mildly on the positive side.
The stocks to keep an eye will be the I.T Stocks, Banking and Financial Stocks, Pharma Stocks, Energy Stocks, and FMCG Stocks.
# Information Technology Stocks:
Wipro, Infosys, Mindtree, Tata Elxsi, L&T Technology.
# Banking Stocks:
Indusind Bank ,HDFC Bank, Icici Bank, Federal Bank, Axis Bank.
# NBFC Stocks:
Piramal Enterprise Ltd, Bajaj Finance, Shriram Transport, HDFC, L&T Financials.
# Pharma Stocks: Sun Pharma, Cipla, Dr. Reddy’s, Divi’s Lab and Cadila.
# Other Main Stocks to watch out for on this Monday Morning in the Indian Equity Markets:
Reliance, Tata Motors, Bharti Airtel, Adani Port, HDFC Standard Life, Sbi Life, BPCL, ONGC, Bharat Forge, Ashok Leyland.
-Royalty increases may be difficult in content of greater scrutiny on related party transaction.
-Add of $15.116/mt imposed on phenol imports.
-DN capacity is 2 lk TPA & Annual demand is 3.75 lk TPA.
-Cabinet revises guidelines for broad casting services in India.
-Licences will be issued for 20 years Vs 10 years now and the fee revised to 8% of adjusted gross revenue vs 10% of gross revenue.
-Inaugurates new motor manufacturing facility at Ahmednagar.
-Acquires 58% equity Oasis Smart SIM Europe SAS.
-Oasis is a leading ESIM technology provider.
-Moves to leverage & Amplify growth in mobility , Lot markets.
Some good stocks to watch today are Phillips Carbon, Himadri Chem, DISH TV, Hathway Cable, Den Networks, GTPL Hathway, Specialty Rest.
Many analysts believe that the I.T, Banking and Pharma Stocks will show strength in the coming days in the Indian equity markets.
Main Stocks to watch out for This Thursday:
Wipro (386), Infosys (1253), Mindtree (1596), Tata Elxsi (1786), L&T Technology (2319).
Indusind Bank (855), HDFC Bank (1375), ICICI Bank (503), Federal Bank (64.25), Axis Bank (592).
Piramal Enterprise Ltd (1424), Bajaj Finance (5088), Shriram Transport (961), HDFC (2403), L&T Financials (89.50).
Tips Worth following for becoming a successful trader and investor in the Indian equity markets.
“Trading profitably require Commitment to learning, Self –Evaluation and Practice”
“Best wishes for a Profitable Monthly Expiry Trading this Thursday in the Indian equities markets!
Cheerful Trading !!
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