How are the Markets Looking ?
The market recently attempted to break out of the 19,870 mark but failed to do so and closed slightly below yesterday’s close at 19,802. However, the overall chart remains intact for an upward trend. Currently, the market is consolidating, and once we break the neckline of the inverted head and shoulders pattern, we can expect a sharp upward movement.
Nifty Heatmap
The Nifty heatmap shows a mixed bag of performance. Bajaj Auto and HeroMoto have performed well, showing gains of 3% and 4.5% respectively. HDFC Bank and Bharti Airtel also recorded minor gains. However, there have been slippages in IT stocks such as TCS and Infosys as well as cement stocks like Ultra Semco, Krasim, Maruti, and Cipla. LNT and LTIM were down, while most other stocks remained relatively flat.
Sectoral Overview
Real estate stocks have resumed their upward journey with a 1% gain, primarily driven by DLF’s positive movement. However, metals, public sector enterprises, and commodities also saw slight gains of around half a percent. On the other hand, pharmaceuticals, particularly Lupin and Cipla, experienced losses of 1.6% and 0.6% respectively.
PSU banks have seen a significant decline of 3.8% this week, while Bank Nifty is down 1.3%. Overall, there have been no major gains in any particular sector so far this week.
Mid & Small Cap Performance
Mid caps have remained within the same range for the past three to four days, experiencing a new high but closing at the same level as the previous day. Small caps, however, recovered more than half of yesterday’s losses, which is a positive sign of market correction.
Bank Nifty Overview
Nifty Bank has also stabilised again at the same support level at 43,500-43,600.
Stock in Focus – Suzlon
Suzlon is a stock that has been moving significantly in recent days. After hitting a couple of circuits down in the past few sessions, it has shown signs of a potential turnaround. In just a couple of days, the stock has gone from 42 to 35 and then jumped to 39 in a flash. Traders who are quick to react and monitor the market closely may find good opportunities in such stocks.
Stock in Focus – Apollo Microsystems
Apollo Microsystems is another stock that has been on a run from Rs55 to Rs160. Although it experienced some sharp corrections, going through 4 circuits down, it rebounded from the lower circuit at 125 to the upper circuit. This indicates potential opportunities for intraday traders and those who closely follow the market.
Global Markets
The S&P 500 index is also moving up, which provides a favourable tailwind for our market. This suggests that there are no significant overseas issues affecting our market. Additionally, it indicates that the market is recovering, and concerns over interest rates seem to be fading away.
If you have any questions, please write to support@weekendinvesting.com
