Domestic headline indices hit fresh all-time highs on Wednesday, nudging away weak international cues, but was helped by the government’s policy choices. S&P BSE Sensex hit an all-time higher of 58,777 ahead of ending slightly decrease from the record levels at 58,723. NSE Nifty 50 scaled 17,532 for the very first time ever but closed the day at 17,519. Broader markets participated in the rally with all sectoral indices on NSE closing with gains except Nifty Media. Entering the weekly expiry session, SGX Nifty was trading flat, hinting at a muted get started ahead of the opening bell. Global cues have been mixed on Thursday morning as Wall Street closed with gains but Asian markets failed to mirror the up-move.
Global watch: On Wall Street, S&P 500 zoomed .85%, followed by NASDAQ and the Dow Jones as investors looked previous issues surrounding an additional covid induced financial slowdown. Among Asian stock markets, Shanghai Composite was up with gains though Hang Seng, Nikkei 225, TOPIX, KOSPI and KOSDAQ have been down with losses.
Technical take: While hitting fresh highs, Nifty 50 formed a lengthy bull candle, stated Nagaraj Shetti, Technical Research Analyst, HDFC Securities. “A long bull candle was formed on the daily chart, which indicates an upside breakout of the narrow range movement of the last one week. This is a positive indication and one may expect further upside in the short term,” he added.
Levels to watch out for: “Nifty has managed to clear the resistance at 17,450. Technically, post the 17450 range breakout, the index succeeded to close above 17500, which indicates a strong possibility of a continuation uptrend wave up to 17575. Above the same, the index could rally up to 17625, whereas trading below 17450 may trigger a quick intraday correction up to 17400-17350 levels,” stated Shrikant Chouhan, Executive Vice President, Equity Technical Research, Kotak Securities.
FII and DII trades: Foreign Institutional Investors (FII) have been net purchasers of domestic stocks for the fourth consecutive trading session on Wednesday. FIIs pumped in Rs 232 crore into equities. Domestic Institutional Investors (DII) have been also net purchasers yesterday, obtaining stock worth Rs 167 crore.
IPO watch: The IPO of Sansera Engineering was totally subscribed on the second day of bidding by investors. Retail investors along with staff of the firm have totally subscribed their portion of the IPO though Qualified Institutional Buyers have subscribed to .38 instances the reserved portion and Non-institutional Investors have bid for .22 instances their quota.