Today’s Market Summarised
The 50 points region around 16,800 has been approved as the lifesaver for Nifty!
NIFTY opened with a huge gap-down at 16,847, down by 358 pts. Looking at the charts, the region above 16,800 has been a concrete support for Nifty and it respected taken today too! During the recovery, 17k acted as a resistance, but it was a stellar rally of 200+ pts in just one hour after some positive news came from Ukraine. Nifty closed at 17,092, down by 114 pts or 0.67%.
BANK NIFTY opened at 36,833 with a gap-down of 852 pts. The index tried to get back in the green with the help of the afternoon rally but failed. Still, there was a really good move from market opening to closing. Bank Nifty closed at 37,371, 313 pts or 0.83% down.
All the sectoral indices closed in red. Nifty Media (-3.3%), Realty (-2.9%) forgot about the recovery phase.
All the Asian markets closed in the red today. European markets are trading flat to red currently.
News Picks
ONGC (+0.95%) remained strong from the morning itself as crude rose to hit over 7-year high.
Nifty Auto recovered more than 2% in the last two hours with the help of M&M(+1.4%), Eicher Motors (+0.98%), Hero MotoCorp (+0.65%) and Bajaj Auto (+0.59%). But, Tata Motors(-3.2%) closed in the red.
From the heavyweights, Kotak Bank (+0.8%) and HDFC (+0.70%) featured in the Nifty 50 top-gainers segment with slight gains.
Media stocks such as Hathway (-4.4%), DishTV (-4.4%), Network18(-4.9%), TV18BRDCST (-4.9%) fell more than 4%. ZEEL (-5.4%) also moved down sharply.
Realty stocks DLF (-6.3%) and Lodha (-6.5%) took a hard hit.
TCS (-3.5%) continued to be weak with the lowest close in 2022.
IB Real Estate(+10.2%) strongly recovered from yesterday’s fall after the positive statements from the company. Indiabulls Housing Finance (+0.90%) also closed in the green. However, Dhani crashed 20% again.
Markets Ahead
Major Russian Indices fell more 6% last day and are currently trading 3% down. This forced our markets to open with a big gap-down and fall today.
Donetsk’s (Ukraine) parliament approves the treaty of friendship and mutual assistance with Russia. This was the news that powered the afternoon rally in most of the sectors.
The situation of Russia-Ukraine issue is still unclear with many positive and negative news surfacing continuously. The market always hates uncertainty. India VIX closed 16% up.
It’s a very good thing to see Nifty closing above 17k and let’s keep an eye on 16,800 also in the coming days. But the Index is still trading below the downward trendline.
37,650 is treating Bank Nifty as an enemy, not letting it move up. Even with a good rally, Bank Nifty could not close above 37,500.
How do you think the market might shape up in the coming days? NIFTY is showing major weakness in the technicals but is it driven by just news or also other factors? Let us know in the comments section of the marketfeed app!
See you at The Stock Market Show at 7 PM!