Thursday, May 8, 2014

Market Summary of the day : 08/05/2014

After slumping to 6 weeks low level in previous trading session, domestic equity markets just about consolidated with benchmarks ending a little higher over one tenth of a percent from previous close as caution ahead of the outcome of the national elections next week, mostly kept market-participants on tenterhooks.  Nevertheless, buying in index heavyweight stocks such as L&T and ICICI Bank among others, mainly kept the momentum positive for Indian equity markets, while some amount of gains also triggered by dovish comments from US Federal Reserve Chair Janet Yellen that whetted global risk appetite.
In the extremely volatile session of trade, bargain buying activities got markets trading firmly in green for the first part of the session, while profit-booking reversed all the gains in the second half, nevertheless bit of recovery which was witnessed during the dying hours of trade mainly prevented a negative close for markets.  Hope that BJP led NDA will be able to form the next government at the centre with support from some regional parties after Lok Sabha elections, mainly underpinned select investors to go long on equities during last hour of trade.
At close, broader indices made an indecisive close; with Midcap index going home with cut of over 0.15% and Small-cap index settling higher with the same quantum.  On the global front, Asian shares got a lift from dovish comments by the U.S. Federal Reserve chief and upbeat Chinese trade data that suggested some signs of stabilisation in Chinese economy. Additionally, risk assets were also underpinned by signs of easing tensions in Ukraine after Russian President Vladimir Putin called on pro-Moscow separatists to postpone a secession vote.
Back home, majority of the sectoral indices on BSE settled in the favour of green, with prominent gainers beingthe stocks from Consumer Durables, Banking and Auto counters that witnessed maximum interest. On the flip side, stocks from Realty, Fast Moving Consumer Goods and Healthcare counters were the top losers which witnessed maximum drubbing. Meanwhile, Metal rose after latest data from China showed exports and imports unexpectedly rose in April. Sesa Sterlite, Hindalco Industries Hindustan Zinc, Bhushan Steel, NMDC and Hindustan Copper gained in the range of 0.25%-2.50% each. Additionally, IT stocks also bounced back after previous few sessions’ drubbing after Nasdaq-listed software giant, Cognizant reported a 19.9% rise in its first quarter earnings for the quarter ending March to $2.42 billion.
The market breadth on the BSE ended negative; advances and declining stocks were in a ratio of 1328: 1404, while 136 scrips remained unchanged.  BSE Sensex gained 20.14 points and Nifty gained 7.30 points. With Consumer Durables up by 1.30%, Bankex up by 0.74%, Auto up by 0.58% , Capital Goods up by 0.39% and IT up by 0.24% were the gainers while, Realty down by 0.92%, FMCG down by 0.80%, Health Care down by 0.32%, Oil & Gas down by 0.21% and PSU down by 0.14% were the top losers in the space.  The major gainers of the Nifty were BHEL up 3.76%, HCL Tech up by 1.83%, Tata Motors up by 1.72%, Power Grid up by 1.66% and Hindalco up by 1.41%. The key losers were BPCL down by 1.85%, Hero Moto Co down by 1.36%, ITC down by 1.34%, Lupin down by 1.18% and Bharti Airtel down by 0.96%.  European markets were trading in green; France’s CAC 40 was up by 00.64%, UK’s FTSE 100 was up by 0.53% and Germany’s DAX was up by 0.65%.

TECHNICAL INDICATOR OF NIFTY
Today, RSI was at 47, MACD positive above signal line; India VIX was at 34~ which all Indicate that nifty is in long term positive trend but we may see some profit booking ahead of major event-Election results outcome. Nifty closed below its 5 DMA (6684) & 20 DMA (6740) but still above 50 DMA (6577)
and 200 DMA (6148) which all indicate that medium and long term trend is still intact.

No comments:

Post a Comment

Note: Only a member of this blog may post a comment.