Today’s Action
Nifty, +0.4%; Sensex, +0.2%; Nifty Midcap, -0.2%; Nifty Smallcap, +0.3%; and Model Portfolio, +0.2%.
Daily Market Review
Market Status: Confirmed Uptrend
Market advanced for the fourth consecutive day. Although, Nifty remained volatile, it traded in a narrow range and closed with moderate gains. However, volume has been mixed during the last four trading sessions and market breadth continued to remain narrow. Of the 2,145 stocks traded on the NSE, 874 advanced, 896 declined, and the rest remained unchanged. While Midcap failed to catch up with the broader market, Smallcap closed in the green.
On the sectoral front, Nifty IT closed with around 1% gain after posting losses for the last two trading sessions, whereas Nifty Auto failed to keep up yesterday’s momentum and closed in the red.
Looking ahead, we would like Nifty to hold its key moving averages with good participation from Midcap and Smallcap stocks. Further, a steady improvement in market breadth will indicate increasing strength in the market. On the flip side, if Nifty registers additional distribution days, it will be a subtle sign of weakness in the market.
Key News
Pnb Housing Finance is planning to consider the issuance of secured and unsecured non-convertible debentures aggregating up to INR 10,000 crore in tranches at its board meeting scheduled on October 24. The stock was down 13%.
Pnc Infratech received a Letter of Award (LOA) from the National Highways Authority of India (NHAI) for a project worth INR 1,062 crore. The project includes the construction of NH-56, four-lane bypass connecting NH-56 and terminating near Behta Village Road in the state of Uttar Pradesh. The stock gained 3.6%.
Bajaj Auto launched its electric scooter, Chetak, today. The company has made its re-entry in the scooter space after nearly two decades. The stock was up 0.4%.
Exide Industries made entry into the electric vehicle market through the launch of e-rickshaw Exide Neo. It is being launched in select markets and will be gradually available across the country in a phased manner. The stock was down 2.5%.
What do you think? Please email us any questions or comments.
Continue reading with a MarketSmith India Premium subscription…
To Read Detailed Reports including Stock Recommendations, Idea Lists, Evaluate Stocks etc. Subscribe to MarketSmith India.