Nifty formed a bullish candle on the daily chart as it seems that the Index is coming out of the consolidation phase. Though Nifty has been able to scale and is still sustaining above the short-term average of 21-day EMA but 50 DMA possess challenges for Nifty around the level of 19600-19600 range.
It was a bumper day on Dalal Street on the auspicious occasion of Diwali as buyers cheered taking the stock market higher. Sensex jumped 354.77 points or 0.55 percent to 65,259.45. NSE Nifty 50 index gained 0.52 percent or 100.20 points to 19,525.55 on November 12.
The total market cap of BSE-listed companies shot up to Rs 322.52 lakh crore, adding Rs 2.22 lakh crore to the investor wealth in 60 minutes of trading. Investors’ wealth rose by Rs 62 crore every second during the trade.
On the technical front, Nifty formed a bullish candle on the daily chart as it seems that the Index is coming out of the consolidation phase. Though Nifty has been able to scale and is still sustaining above the short-term average of 21-day EMA but 50 DMA possess challenges for Nifty around the level of 19600-19600 range.
Technical Indicator ‘Bollinger Band’ expanding too indicates that the rally in the market is most likely to witness an extension. Now Index is set to scale the 50-DMA presently placed at 19571, sustained close above the said level can extend the Index rally towards 19800 in the coming weeks as it is the placement of resistance trend line (19600) drawn adjoining Sep-Oct highs. Hence, buy on dips would be the prudent strategy to adopt. However, if Index fails to do so then bearish Flag pattern might be underway and downside zone of 19050-19000 will act as immediate support for the index.
Stocks in Asia rose on Monday while Treasuries and the dollar kept their composure, as investors took their lead from Wall Street’s Friday rally, shrugging off a Moody’s downgrade to the US credit outlook.
Japan’s Nikkei rose 0.46%, with chip-related shares providing the biggest boost. Taiwan’s tech-heavy equity benchmark rallied 1.17%. Hong Kong’s Hang Seng gained 0.49% amid an outperformance in tech shares.
Wall Street’s main indexes ended with big gains on Friday, boosted by heavyweight tech and growth stocks as Treasury yields calmed, while investors looked ahead to a next week’s reports on inflation and other economic data.
The Dow Jones Industrial Average rose 391.16 points, or 1.15%, to 34,283.1, the S&P 500 gained 67.89 points, or 1.56%, to 4,415.24 and the Nasdaq Composite gained 276.66 points, or 2.05%, to 13,798.11.
Moody’s changes US ratings outlook to negative, affirms AAA
Moody’s on Friday changed the outlook on the government of United States of America’s ratings to “negative” from “stable”.
The rating agency said it expects United States’ fiscal deficits will remain very large, significantly weakening debt affordability. Moody’s affirmed the long-term issuer and senior unsecured ratings at “Aaa”.
Stocks on the radar:
Steel Authority of India: The state-owned steel production company has recorded consolidated profit at Rs 1,305.6 crore for July-September period of FY24, against loss of Rs 330 crore in year-ago period, backed by healthy operating numbers with fall in input cost. Consolidated revenue from operations increased by 13.2 percent YoY to Rs 29,712 crore in Q2FY24.
Coal India: The country’s largest coal mining company has recorded a 12.7 percent on-year growth in consolidated profit at Rs 6,813.5 crore for quarter ended September FY24, with revenue from operations increasing by 9.8 percent to Rs 32,776.4 crore during the quarter.
Oil & Natural Gas Corporation: The state-run oil and gas exploration company has recorded standalone profit at Rs 10,216 crore for quarter ended September FY24, falling 20.3 percent compared to year-ago period. Gross revenue declined 8.2 percent year-on-year to Rs 35,162 crore in Q2FY24.
Eicher Motors: The Royal Enfield maker has registered the highest ever quarterly profit, revenue and EBITDA for the quarter ended September FY24. Net profit increased by 55 percent YoY to Rs 1,016 crore in Q2FY24, backed by healthy operating numbers. Revenue from operations grew by 17 percent YoY to Rs 4,115 crore.
Biocon: The biopharmaceuticals company has reported a massive 168 percent year-on-year surge in consolidated profit at Rs 126 crore for quarter ended September FY24, backed by strong topline and operating numbers. Revenue from operations grew by 49 percent YoY to Rs 3,462 crore.
FII and DII data
Foreign institutional investors bought shares worth Rs 95.31 crore, while domestic institutional investors sold Rs 190.06 crore worth of stocks on November 12, provisional data from the National Stock Exchange showed.
Stock under F&O ban on NSE
The NSE added Manappuram Finance and Zee Entertainment Enterprises to its F&O ban list for November 12, while retaining Chambal Fertilisers and Chemicals, Delta Corp, GNFC, and MCX India in the list. Securities banned under the F&O segment include companies where derivative contracts cross 95 percent of the market-wide position limit.
Goodluck India: Promoter Group acquired 500000 shares of Goodluck India.
Thirumalai Chemicals: Tara Parthasarathy promoter group acquired 1880 shares of Thirumalai Chemicals Ltd. on November 8, 2023.
Linc Limited: Ekta Jalan, promoter group acquired 5000 shares of Linc Limited on November 9, 2023.
Dr. Lal Pathlabs Ltd: Rahul Sharma, Director sold 1081 shares of Dr. Lal Pathlabs Ltd on November 9, 2023
Oil prices ease on worries of waning demand in US and China
Oil prices eased on Monday, reversing their rally on Friday, as renewed concerns over waning demand in the United States and China dented market sentiment.
Brent crude futures for January were down 35 cents, or 0.4%, at $81.08 a barrel at 0051 GMT, while the US West Texas Intermediate (WTI) crude futures for December were at $76.82, down 35 cents, or 0.5%.
The information provided in this blog post is for informational purposes only and should not be construed as investment or trading advice. The author is not a financial advisor and does not have any professional qualifications in this area. The author does not guarantee the accuracy or completeness of the information provided. Any action you take based on the information in this blog post is done at your own risk.
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