The Wednesday trading session belonged to the bears as the Indian equity markets from the morning itself was weak .
The markets continuously came under severe selling especially towards the closing part of the trading day.
Any attempts to take the markets up by the bulls were made unsuccessful with sustained selling by the bears.
Finally, The Indian equity market closed in the red at the closing bell on March 24th with Sensex sliding downwards 871 points to 49180, and the Nifty losing 265 points to end at 14549
Weakness was seen across the Street and the Nifty index settled the day with losses of over 250 points
Except Pharma, all the other sectos closed in the red with the metal index losing over 3 percent. Nifty Auto and Bank Nifty shed over 3 percent each.
M&M was the top loser in the Sensex pack, shedding around 4 per cent, followed by SBI, ICICI Bank, Axis Bank, IndusInd Bank, ITC and NTPC.
On the Positive Side, Asian Paints and PowerGrid closed with gains.
To sum up, The Indian equity markets had a weak day on Wednesday. The positive cues from the global markets may help the bulls to push the nifty towards 14700-14800 for the monthly expiry closing.
The U.S. Markets closed on Friday with strong positive cues as Dow Jones closed in at 32,420( -3) , S&P at 3889 (-21 ) whereas NASDAQ closed in at 12961 (-265).
For the coming days, most analysts believe that Indian markets will be in consolidation mode. If the foreign institutional investors start buying and global markets trade in positive territory, an up move can be expected in the Indian equity markets too.
The Foreign institutional investors sold on wednesday Rs 1951 Crores whereas Domestic institutional investors bought Rs 612 Crores.
FII’s selling is a big negative for the markets and the bulls can make a comeback only if the FII's resume buying in a big way.
Most experts expect the indices to continue to be volatile with bearishness of the wednesday trade overhanging the Monthly expiry.
There seems to be a possibility of the I.T Sector going up in the coming days.
The private banks like Axis Bank, Icici Bank, Federal Bank, Indusind Bank, Kotak Bank, HDFC Bank will look to consolidate and move further up from the wednesday's lows.
PSU Banks like Canara Bank, Karnataka Bank; Bank of Baroda did see some heavy corrections and can be accumulated for decent gains in near future.
NBFC’S – Mahindra and Mahindra Financial Services, PEL, Bajaj Twins, Shriram Transport Finance will under the radar of the traders.
The I.T Majors like Wipro, TCS, Infosys, Tech Mahindra, and HCL Tech are looking relatively strong and these stocks can move up quickly from here.
Also Tata Motors, Ashok Leyland, Gujarat Pipavav, had a weak day on wednesday and they are expected to regain the positive up move in the near term.
Cement stocks like Grasim , Shree Cement , Dalmia Bharat ,Ramco Cement are likely to show strength as the broader market looks to maintain some upwards momentum in the coming days.
Pharma stocks like Dr Reddy’s, Lupin, Divi’s Lab, Cipla, Sun Pharma, and Cadila are expected to do good in the near term.
The general Sentiments in the market seemed to have turned bearish with traders looking for global cues .
The stocks to keep an eye on in the Indian equity markets will be the Pharma, I.T Sector, Banking Sector, NBFC Sector , FMCG Stocks, and Cement sector Stocks.
# 5 Banking Stocks: Rbl Bank , Federal Bank , Axis Bank, ICICI Bank, Indusind Bank.
#5 NBFC Stocks: ,Bajaj Finance, HDFC LTD, IBull Housing, Shriram Transport, PEL.
# 5 Pharma Stocks: Candila , Cipla, DrReddy’s, Divi’s Lab, Sun Pharma.
#5 Information Technology Stocks: HCL Tech, Tech Mahindra , TCS, Infosys, Co- Forge.
#10 Other Main Stocks to watch out for on this Thursday Morning in the Indian Equity Markets:
Biocon, TCS, Ultratech , Aarti Industries , Aarti Durgs , Deepak Nitrate, Graphite, Tata Motors, Ashok Leyland, Adani Power.
After a weak trading day on wednesday, the view is that the Indian equity Markets is in bearish zone and will be volatile in the coming days.
The negative cues from the US Markets will help the bears to take the markets downwards below 14500 levels.
Trading View for Indian equity markets this Thursday Morning:
#Stocks to Watch for Trading from LakshmiShree in-house Technical Expert Ansul Jain-
25TH March Stock Picks — Biocon, TCS, Ultratech.
( Watch YouTube Video Analysis here –https://youtu.be/yYqs41FS6Ug )
The cues from the US Markets will decide the direction that the markets takes in the coming days.
We do conduct Pre-Market Analysis webinars daily in the morning. You can join this live webinar of today through our Facebook Page & Youtube Channel.
Cheerful Trading !!
