The Indian equity markets continued to be under selling pressure for the 6th Consecutive day and closed in the negative territory. Can Budget Bring Cheers to the Indian Equity Markets is the topmost thought in the minds of every market participants.
On Friday, The Markets opened slightly in the green on back of global positive closing but couldn’t sustain for long and slipped into red. The bank nifty showed some strength and closed 200+ Points on the upside. The last one hour of trade saw nifty break down the crucial 13800 levels and slip 200 points towards the closing.
The Indian Equity Markets ended towards the lows of the day with Nifty closing at 13,634(-182)
Sensex closing at 46285(-588) and Bank Nifty closing at 30565(+207).
Indus Ind Bank was the one banking stock which lead the bank nifty with nearly 6+ percent upside.
Reliance was positive till the last hour of trade and then starts to slip to end nearly -2 percent towards the closing.
Some of the I.T Stocks like Infosys, TCS closed in the negative too.
Tata Motors from the Auto Stocks was positive most part of the day before the last hour trade brought it down to close in the red.
Overall, the Indian Equity markets on Friday showed weakness across sectors on the back of global weakness.
Most experts expect the indices to open in the red due to the weak closing of the U.S Markets.
The experts expect some positive triggers from the Budget to lead the recovery in the Indian Equity Markets. According to Most analysts, the crucial levels of 13400-500 Nifty levels will be decisive support level and the indices after 6 days of selling is bound to show some sort of bounce in the coming days.
The Foreign institutional investors sold on Thursday nearly Rs 5930 Crores whereas Domestic institutional investors Bought Rs 2443 Crores.
FII’s resuming the buying will be the key to the market slowly but steadily moving upwards.
The U.S. Markets closed negatively on Friday with Dow Jones closing at 29,982(-620), S&P closing at 3714(-73) and NASDAQ closing at 13070(-266).
Many analysts believe that Indian markets will be bounce back soon and the budget may provide the trigger which the markets desperately needs at this point of time.
Indus Ind bank, Axis Bank and Icici Bank will be in limelight and expected to do well on Monday.
Some of the other stocks which can be active on Monday are HDFC Bank, Federal Bank, Bank of Baroda, and Canara Bank. The Psu banks will be looking for positive triggers from the budget.
The insurance sectors stocks Hdfc standard life ,Sbi Life and Max financial services will be keenly watched as many are expecting good news for insurance sector in the budget.
NBFC’S - Bajaj Twins, Shriram Transport Finance too will look to bounce back from the last few days of weakness.
Infosys, TCS came under some selling pressure on Friday and will try to bounce back and recover some of the losses of the past couple of days
Pharma stocks like Divi’s Lab, Sun Pharma, Cadila and Cement stocks like ACC, and Grasim are Likely to show strength as the broader market looks to regain lost ground.
Also Bharat Forge, Bharti Airtel, Maruti, Adani Enterprise, Adani Port, is expected to be keenly watched for any trigger by the traders from this Budget.
The general Sentiments in the market seem to be of a bounce back in the markets after 6 consecutive days of selling. The Budget will set the tone for the near term in the Indian equity markets.
The stocks to keep an eye on in the Indian equity markets will be the Banking Sector , I.T Stocks , Pharma Stocks , FMCG Stocks , NBFC Stocks and Cement sector Stocks.
#5 Information Technology Stocks: TCS, Infosys, HCL Tech, Tech Mahindra, L&T Technology.
# 5 Banking Stocks: HDFC Bank, ICICI Bank, Federal Bank, Indusind Bank, Axis Bank.
#5 NBFC Stocks: Hdfc, Bajaj Finance, Bajaj Fin serves, Mahindra and Mahindra financial, Shriram Transport.
# 5 Pharma Stocks: Lupin, Sun Pharma, Dr Reddy’s, Divi’s Lab, Cadila.
#10 Other Main Stocks to watch out for on this Friday Morning in the Indian Equity Markets:
Tata Motors , Ashok Leyland ,Reliance, Adani Port,Grasim, Bharti Airtel , HDFC Standard Life, Bharat Forge,Maruti, Cyient.
Analysts are guiding for some bounce back in the Indian equity markets on the basis of a favourable Budget on Monday.
It will be interesting to watch if the nifty manages to recover and scale towards 14200-14300 levels in the coming days.
To sum up, for this Budget Day, the Trading view is that the Indian equity Markets will open on the lower side and then the Budget will determine the direction of the markets.
Best wishes for a Profitable Budget Day in the Indian equity markets!
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