D-St bucks weak global trends; Sensex up 230 pts; PSB, realty stocks gain

Stock market updates: Market bulls were back on Dalal Street on Monday, reversing the steep losses logged in the morning, amid broad-based buying. Barring the auto and IT pack, investors bought stocks from across sectors as bond yields in the US fell to 1.35 per cent while US stock futures indicated at a healthy session on Wall Street later in the day.

Around 3 PM, Dow Jones Futures were up over 200 points, or 0.6 per cent, suggesting a positive start on Wall Street after sharp decline in the past week. The S&P 500 Futures and Nasdaq Futures, too, were up 21 points and 81 points, respectively. 

That said, global mood elsewhere was subdued. The pan-European STOXX 600 index erased early losses to trade flat on the day while Britain’s FTSE 100 was off 0.05 per cent in Euro zone. 

In Asia, Japan’s Nikkei led declines with a 3.6 per cent drop and dipped below 28,000 for the first time in a month, and MSCI’s broadest index of Asia-Pacific shares outside Japan fell 1.4 per cent. Chinese blue chips lost 0.7 per cent.

Given weak Asian cues, the benchmark S&P BSE Sensex and the Nifty50 indices hit the day's low of 51,740 and 15,506, respectively in early morning trade. However, low-level buying emerged quickly to recoup losses. By close, the Sensex index was at 52,574 levels, up 230 points or 0.44 per cent. On the NSE, the Nifty50 index was at 15,746 levels, up 63 points or 0.4 per cent.

Adani Ports (up 5 per cent) was the top Nifty gainer today, trailed by NTPC, Titan, SBI, Tata Steel, Bajaj Finserv, Grasim, and HDFC. On the downside, UPL (down over 4 per cent), Wipro, Hindalco, Tata Motors, TCS, Maruti Suzuki, and Tech Mahindra were the top laggards.

Broader markets, meanwhile, outperformed the large-caps today with the BSE MidCap and SmallCap indices gaining 0.8 per cent each.

Sectorally, the Nifty PSU Bank index ended 4 per cent higher amid reports that Central Bank of India and Indian Overseas Bank might be privatised. The two lenders might see 51 percent sale in the first phase of disinvestment, a report by TV channel CNBC Aawaz said.

Individually, the two banks hit their respective 20 per cent upper circuits while Jammu & Kashmir (J&K) Bank and Punjab & Sind Bank from the index rallied 20 per cent and 18 per cent, respectively. Bank of Maharashtra, Union Bank of India, Bank of India and Uco Bank were up in the range of 6 per cent to 8 per cent.

Besides, the Nifty Realty index was up 2 per cent and the Nifty Metal, Private Bank, Bank, and FMCG indices gained up to 1 per cent each. On the contrary, the Nifty IT and Auto indices slipped 0.2 per cent and 0.36 per cent, respectively.

5:24 PM

MARKET CLOSING COMMENT :: Deepak Jasani, Head of Retail Research at HDFC Securities

Nifty showed another spectacular recovery from the opening lows after a similar show on Friday. Lack of large volumes on such days reflect that only fringe players are getting panicky  and action otherwise  keeps rotating among stocks – both large and midcaps. While rising however indices may be slow in the absence of positive triggers.  Nifty seems to have made a  minor bottom in the 15451-15505 band.  On rises 15770-15812 could be the resistance in the near term.

5:11 PM

Trade set-up for Tuesday :: Important levels to watch on Sensex and Nifty

The market once again strongly resisted going below 15,500/51700. With 15500/51700 levels holding support for second day in a row, the market saw a strong short covering trend today. After Friday's indication, the market has formed a bullish continuation formation today and according to that 15800/52800 will be a big hurdle. However, if indices manage to close above 15800/52800, it could reach 16000/16050 (53400/53500) star.

On Tuesday, 15800/52800 and 15650/52400 could be the trading range of the market. The Bank-Nifty moved from 33900 to close at 34900, which is remarkable and looks appropriate considering the yield of the bond.

Views by: Shrikant Chouhan, Executive Vice President, Equity Technical Research at Kotak Sec

5:01 PM

TECH VIEW :: Sumeet Bagadia, Executive Director at Choice Broking

On the technical front, the Index has taken support from 21-EDMA which is placed at 15569 and bounced from there, which suggests strength for upside in the counter.

Furthermore, the Index has formed a Bullish Marabozu candlestick pattern which further adds strength for upside direction. Moreover, an Hourly Oscillator Stochastic has also suggested positive crossover, which indicates bullish strength for the near term.

At present, the nifty seems to have resistance at around 15900 levels while immediate support comes at 15500 levels.

4:46 PM

TECH VIEW :: Technical evidence is aligned to support the bullish case scenario

The market witnessed some swift recovery from its short-term support around the Nifty50 Index level of 15500 in the market today. The market expected level should range between 15500-15900, and it is going to be crucial for the short-term market scenario to sustain above 15500. Technical evidence is aligned to support the bullish case scenario. As such, investors to buy on intraday correction and look for exit around 15900 levels in the short term. The market observed that the momentum indicators like RSI and MACD start showing positive divergence, indicating the recovery is most likely to continue and the market to test the 15900 level.

Views by: Ashis Biswas, Head of Technical Research at CapitalVia Global Research

4:36 PM

TECH VIEW :: Nagaraj Shetti, Technical Research Analyst at HDFC Securities

The short term trend of Nifty has turned up after a dramatic fall and a swift upside bounce of the last two sessions. A sustainable move above 15800 levels is likely to pull the market into new all-time highs in the next few sessions. Any weakness could find support around 15650-15600 levels

4:21 PM

MARKET STRATEGY :: Use correction to go long

We’re seeing consolidation in the index on the expected lines. However, the buying interest on every dip clearly shows the market mood. We reiterate our advice to utilise intermediate correction to go long in quality counters until we see some sign of trend reversal. Having said that, it’s not easy to identify performers at the record high and the risk of false breakout is also there. We thus recommend limiting the naked leveraged bets and maintaining strict risk management rules.

Views by: Ajit Mishra, VP - Research, Religare Broking

4:09 PM

NIFTY OUTLOOK :: Here's what tech charts say about the index post today's recovery

Nifty opened on a very weak note on account of global cues but managed to witness smart recovery finally closing near the high point of the day. This is the second consecutive time where nifty made a strong comeback reflecting the strength in the markets. However, on an hourly basis, it is just about closing near Ichimoku cloud support. For Nifty to inch toward 16000 level, it has to give hourly closing above 15780-15800 levels.

Views by: Gaurav Bissa, AVP Derivatives & Technicals at LKP Securities.

3:57 PM

MARKET RECAP :: Vinod Nair, Head of Research at Geojit Financial Services

The domestic market opened on a weak note due to the hawkish monetary policy of the U.S Federal Reserve. But the market clawed back above day’s low and closed in the green as the market expects a faster economic recovery owing to the PM's announcement on free inoculation for all citizens. PSU Bank was the top sectoral performer on reports of the government finalizing Central Bank of India and Indian Overseas Bank for privatization

3:50 PM

NSE Snapshot :: Top Nifty50 gainers of the day

3:45 PM

Broader market :: BSE SmallCap index gains 0.8%

3:44 PM

Broader market :: BSE MidCap index outperforms

3:42 PM

Sectoral trends on the NSE

3:39 PM

Sensex Heatmap at Close

Top gainers: NTPC, Titan Company, SBI

Top losers: Tech M, Maruti Suzuki, TCS
 

3:33 PM

CLOSING BELL :: Indices recoup losses

The benchmark S&P BSE Sensex and the Nifty50 indices hit the day's low of 51,740 and 15,506, respectively in early morning trade. However, low-level buying emerged quickly too recoup losses.

By close, the Sensex index was at 52,574 levels, up 230 points or 0.44 per cent. On the NSE, the Nifty50 index was at 15,746 levels, up 63 points or 0.4 per cent.

3:29 PM

Sensex at this hour