Today’s Action:
The key indices experienced a volatile trading session today. Investors remained subdued in the light of the ongoing earnings season.
Daily Market Review:
The benchmark indices started the week on a high note after tracking positive cues from its Asian peers. However, as the day progressed, it observed some distribution in the afternoon trade. Finally, some last hour buying brought in relief for investors as the key indices finally ended the volatile trading session in green.
The Nifty started the day at 10,176.65 and traded in the range of 10,124.50-10,224.15. It ended the day with gains of 0.38% at 10,184.85. After opening at 32,411.86, the Sensex traded in the range of 32,312.74-32,614.89. It finally settled the day at 32,494.43, with gains of 0.32%.
The market breadth, indicating the overall health of the market, was in favour of losers today. On the NSE, 823 stocks advanced, compared with 922 stocks declining, and 70 stocks remaining unchanged.
The Nifty Midcap and the Small Cap index outperformed the broader indices today with gains of 0.29% and 0.17%, respectively.
The MarketSmith IND 47 Index, which lists the top 47 stocks in chart and fundamental characteristics, gained 0.83% today.
In the sectoral chart, apart from the three sectors, all sectors posted gains today. The top three performers were Nifty Energy, PSU Bank, and IT gaining 1.79%, 1.28%, and 0.98%, respectively. The Nifty FMCG, Pharma, and Realty were the only three losers declining 0.63%, 0.53% and 0.05%, respectively.
In stock news, Mahindra & Mahindra today announced that it has invested an amount worth INR 16 crore in collaboration with the state-run Energy Efficiency Services Limited (EESL) to replace LED lights at 18 manufacturing sites. This will help the Company reduce its electricity expenditure and ultimately create a positive impact on its margin going forward.
Both the Sensex and the Nifty observed a lower trading volume in today’s session. The distribution day count remains at 4 for both indices. The market status remains in a Confirmed Uptrend.
Current Outlook:
– Market environment conducive for new purchases, but remain selective.
– Focus on fundamentally strong stocks breaking out of strong technical patterns.
– Stay disciplined and exercise sound buy and sell rules.
To Read Detailed Reports including Stock Recommendations, Idea Lists, Evaluate Stocks etc. Subscribe to MarketSmith India.