Daily Big Picture – Markets End Positive on Upbeat Global Cues

Today’s Action:

The major indices recovered with good gains after last session’s slump. The NiftyMidcap and Smallcap indices outperform key composites.

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.

Daily Market Review

The benchmark indices put up a decent show today, tracking positive momentum from its Asian peers after a landslide victory for Emmanuel Macron in French polls on Sunday. The key indices trimmed their intraday highs in the second half of the day to end in the bottom half of the range. However, today’s significant increment helped offset some of the losses from Friday’s trading session.

The Nifty closed at 9,314.05 to gain 0.31% in today’s trading session. It opened at 9,311.45 points and traded in the range of 9,297.95-9,338.70.

The Sensex moved 67.35 points and closed at 29,926.15, gaining 0.23% at the end of today’s trading session. It started the day off at 29,915.12 mark and the trading range was observed between 29,877.41-30,016.04.

Both the Sensex and the Nifty observed a lower trading volume than the previous trading session.

Continuing their winning momentum, the Nifty Midcap and Smallcap indices gained 0.63% and 1.20%, respectively, today.

The William O’Neil IND 47 Index, which lists the top 47 stocks in chart and fundamental characteristics, outperformed the benchmark indices by gaining 0.93% in today’s trading session.

Talking about the sectoral indices, Nifty Realty performed exceptionally well today to gain 4.20%. Other sectors to gain significantly were Nifty IT and Nifty PSU bank gaining 1.22% and 1.07%, respectively. The Nifty FMCG, Energy and Metal indices were the only losing sectors with decrements of 0.80%, 0.13% and 0.08%, respectively.

In the final showdown, Centrist candidate Emmanuel Macron comfortably won the French Presidential election over the far-right national leader, Marine Le Pen. The former economy minister emerged victorious with a 66% share of the vote. In a post win speech, he vowed to unite the divided and fractured France, as the world, as well as Europe watches them. Macron became the youngest French president to be elected to power.

In the stock talk, the prospective merger of cement companies, ACC and Ambuja Cements, propelled accumulation of the stocks. In their respective board meetings, the companies initiated the evaluation process, to understand the joint synergies.

Eicher Motors was in spotlight after reporting good Q4 FY 2017 results that were declared on Friday. It reported a 33.9% jump in its consolidated net profit, fueled by a 23.3% growth in its total income.

Today, positive global cues provided a much-needed breather to the key composites after a sharp decline in the last session. The Sensex and the Nifty are currently holding 4.0 and 3.0, distribution days, respectively. The Indian market condition is in a Confirmed Uptrend.

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