How are the Markets Looking ?
As we dive into the market analysis of the day, it’s evident that today was a mixed bag in terms of trends and performance. The market opened with a gap up, only to slowly decline over the next few hours, filling the gap and dropping further down to 21,600 points. However, the market eventually rebounded, climbing back up around 70 points from the bottom.
While there were mixed trends during the day, the larger intermediate trend has been on the downside. Yesterday, we witnessed a strong up move towards the end of the day, and today the market has consolidated around that level.
In terms of specific stocks, the Nifty Next 50 index has been performing exceptionally well, recording phenomenal gains in the last four months and hitting an all-time high today. Reliance Industries, in particular, has been a major driving force behind the positive performance of the Nifty in the past two sessions.
Nifty Heatmap
Bajaj Auto, following its buyback announcement, has also shown significant growth at 3.5% for the day, while Hero Motors has surged nearly 5%. Axis Bank and BPCL both saw an increase of 1.6%. Additionally, several oil refining and marketing companies have been performing well in recent times. On the other hand, IT stocks, represented by TCS, remained slightly higher at 0.6%.
Sectoral Overview
Taking a closer look at different sectors, energy stocks led the way with a 1.3% increase, followed by the automobile sector with a 1.1% climb. Commodities and infra also performed well, while IT stocks showed a marginal decline of 0.3%. The FMCG, pharma, metals, real estate, and banking sectors remained relatively flat. Public sector enterprise stocks, on the other hand, experienced some gains. Overall, there has been a strong underlying current.
Mid & Small Cap Performance
Looking beyond the frontline Nifty, we observe that mid-cap stocks are approaching all-time highs, and small-cap stocks have recently reached a new all-time high of 14,500. These trends suggest an extremely optimistic and bullish market sentiment overall.
Nifty Bank Overview
However, the Nifty Bank has remained in a sluggish zone, hovering around the 47500 mark, indicating some hesitancy in the banking sector.
Highlights – Price Movements in Infosys & TCS
Shifting our attention to individual stocks, Infosys opened with a gap up in today’s trading session. However, if we analyse the five-minute chart, we can see that, in the past few sessions, the stock has witnessed intraday falls followed by sharp spikes in the last five minutes of trading. This pattern suggests significant trading activity leading up to the release of results for both Infosys and TCS
Over the past three days, Infosys has experienced a downward trend, while TCS has shown steady upward movement. Thus, it will be interesting to see how these two companies’ results unfold and whether the recent market trends are reflected in their performance.
Highlights – Nifty Infra
In other sectors, infrastructure stocks have performed remarkably well since October, rallying approximately 25%
Highlights – Nifty Auto
Autos have also rebounded, reaching a new high at 18,755, while energy stocks continue their upward trajectory without any signs of slowing down.
Highlights – Nifty Energy
Energy stocks can also be seen to be going up quite rampantly, reaching a new high of 34,776.
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