Taking Stock | Market closed with slight gains, pressure shown on small-medium stocks

In today’s trade, the market emerged from its initial decline and closed in a light green mark. At the end of trading, the Sensex closed at 52,551.53 with a gain of 76.77 points, or 0.15 per cent. On the other hand, Nifty closed at 15,811.85 with a gain of 12.50 points or 0.08 per cent.

Innani Group shares fell 5-9 per cent today due to NSDL freezing the accounts of 3 foreign funds. These funds hold major stake in 4 listed stocks of Adani Group. At the end of the business day, clarification came from Adani Group that the demat account in which these foreign funds are holding shares of Adani Group has not been frozen.

Manish Hathiramani of Deendayal Investment says that Nifty maintained the respect of 15700 level on closing basis today. Despite the weakness in the opening hours of trading, the Nifty closed well above the day’s low, making up for the loss. The level of 15900-16000 remains the next target for Nifty but for this it is necessary that Nifty stays above 15700. Traders need not worry. At this level, stick to the buy strategy on the downtrend in the market.

Looking at different sectors, today’s business saw buying in IT, energy, government bank shares. On the other hand, there was selling pressure in Metal Auto, Banking. BSE Midcap and Smallcap closed in the red.

Tata Motors, Reliance Industries, Wipro, Divis Labs and Bajaj Finance were the top gainers on the Nifty. Adani Ports, Coal India, Kotak Mahindra Bank, HDFC and Maruti Suzuki were the top losers.

On the BSE, the power and realty indices fell 1.5-2 per cent, while the oil & gas and IT indices closed in the green.

Looking at the individual stocks, Adani Enterprises, Amara Raja Batteries and Adani Ports saw a growth of over 300% in volumes.

Godrej Consumer, Power Grid and PNB saw long buildups. On the other hand, short built-up was seen in DLF, Adani Ports and Voltas.

More than 450 stocks made their new 52-week high on BSE today. These include Coforge, Wipro, NBCC and Alkem Laboratories.

technical view

Nifty has formed a small body bullish candle with a long lower shadow on the daily scalp. Which is an indication that buying is happening every fall.

Chandan Tapadiya of Motilal Oswal Financial Services says that if Nifty has to go towards 15,900-16000 then it will have to stay above 15750. On the downside, there is support for Nifty at 15,600- 15,500 levels.

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