Broader markets continued to march greater on Thursday, setting fresh all-time highs on the weekly F&O expiry session. S&P BSE Sensex closed .48% greater at 53,158 points when the Nifty 50 index jumped .44% to finish at 15,924. Broader markets participated in the rally with smallcap indices outperforming the benchmarks. Ahead of the last trading session of the week, SGX Nifty was up in the green, hinting at positive momentum ahead of the opening bell. Global cues had been largely unfavorable with Asian stock markets trading with losses right after Wall Street indices closed mixed.
Global Watch: On Wall Street, Dow Jones gained .15% when NASDAQ and the S&P 500 had been down in the red. Among Asian stock markets, Shanghai Composite, Hang Seng, Nikkei 225, TOPIX, KOSPI and KOSDAQ had been all in the red.
Technical take: Nifty formed a positive candle on Thursday as the index reached fresh all-time highs. “This pattern indicates an attempt of an upside breakout of the larger month old consolidation pattern at 15915 levels. But, the lack of strength at the highs could dampen the effort of bulls to sustain above the hurdle,” stated Nagaraj Shetti, Technical Research Analyst, HDFC Securities.
Levels to watch out for: Key hurdles had been crossed by benchmark indices through the prior session. “The extended upsurge helped key indices move past the trading range on the upward boundary at 15915/53129. The development is positive as this might push the market towards 16100/53600 levels,” stated Shrikant Chouhan, Executive Vice President, Equity Technical Research, Kotak Securities. “ Our strategy should be to buy on dips. The earlier resistance of 15900/15870 (53100/53000) levels would act as major support and buying is advisable if Nifty drops to these levels. Investors should keep a final stop loss at 15770/52600 for the same. On the higher side, 16000/53400 and 16100/53600 levels would be the main obstacles,” he added.
FII and DII trades: Foreign Institutional Investors (FII) had been net sellers of domestic stocks for the second day straight, pulling out Rs 264 crore. Domestic Institutional Investors (DII) had been net purchasers of domestic stocks, pumping in Rs 439 crore. FIIs had been net purchasers of index futures and solutions.
IPO watch: Today is the last day to bid for Zomato’s Rs 9,375 crore initial public supplying (IPO). So far, the public situation has been subscribed 4.8 instances by investors. Retail investors have bid for 4.73 instances the reserved portion, when QIBs have bid for 7.07 instances their quota. Continuing the euphoria on key markets, the IPO of Tatva Chintan Pharma Chem Limited will open for subscription today.