Manish Hathiramani, technical analyst at Deen Dayal Investments said, “If the Nifty50 is able to get past the 14,950 level on a closing basis, then it could move higher to 15,300-15,400.”
“Metal stocks led the sectorial rally on a strong outlook supported by rising steel prices and production. The Q4 earnings season has started and the market is expected to have a stock-centric rally in the coming days,” said Vinod Nair, Head of Research at Geojit Financial Services.
That said, here’s a look at what some of the key indicators are suggesting for Friday’s action:
S&P500 scales new record high
The S&P 500 hit a record high on Thursday and the Nasdaq was at a seven-week peak, helped by gains in tech-related stocks, a day after the Federal Reserve reiterated its pledge to remain ultra-dovish until the economic recovery is more secure. The Dow Jones Industrial Average fell 77.73 points, or 0.23% , to 33,368.53, the S&P 500 gained 5.80 points, or 0.14%, to 4,085.75 and the Nasdaq Composite gained 106.30 points, or 0.78%, to 13,795.14.
European shares scale all-time highs
European stocks hit record highs on Thursday as optimism grew around a global stimulus-fuelled economic rebound after the U.S. Federal Reserve signalled that it was in no hurry to tighten its monetary policy. The pan-European STOXX 600 index rose 0.54%, according to Google Finance data, adding to gains notched earlier this week when the index erased all of its pandemic-driven losses.
Tech View: Nifty forms indecisive Doji
Nifty50 on Thursday closed almost where it had opened earlier in the day, thus forming an indecisive Doji candle on the daily chart. The index stayed above the key short-term moving averages, but weakness at a key resistance point made analysts believe any upside for the index may be capped for now. The bears appear to be gaining an upper hand with their counter-attacks at higher levels, as the bulls were forced to retreat after a breakout, which otherwise appeared be decisive at a high of 14,984, before selling pressure set in, said Mazhar Mohammad of Chartviewindia.in. “This kind of behaviour on the part of the bulls is only adding to uncertainty about rallies,” the analyst said.
Check out the candlestick formations in the latest trading sessions
ETMarkets.com
F&O: VIX moves up marginally to 20.31 levels
India VIX moved up marginally by 0.31% from 20.24 to 20.31 levels. Volatility has to cool down below 20 level to witness buying interest. On the options front, maximum Put Open Interest stood at 14,000 level followed by 14,500, while maximum Call OI was seen at 15,000 level followed by 16,000. Minor Call writing was seen at strike prices 15,000 and 15,200 levels, while there was minor Put writing at 14,900 and 14,500 levels. Options data suggested a wider trading range between 14,500 and 15,200 levels.
Stocks showing bullish bias
Momentum indicator Moving Average Convergence Divergence (MACD) on Thursday showed bullish trade setup on the counters of Tata Motors, GAIL (India), Hindustan Copper, Future Retail,
, Tech Mahindra, Bandhan Bank, Tata Chemicals, Deepak Fertilisers, Exide Industries, City Union Bank, HDFC, Spicejet, L&T, Deepak Nitrite, SBI Cards, Karnataka Bank, Raymond and MRF.
Stocks signalling weakness ahead
The MACD showed bearish signs on the counters of Prabhat Dairy, J B Chemicals & Pharmaceuticals, Godrej Industries, Healthcare Global Enterprises, Oriental Carbon and
.
Thursday’s most active stocks
Tata Steel (Rs 4881.11 crore), JSW Steel (Rs 4362.28 crore), Adani Ports & SEZ (Rs 2800.47 crore), Tata Motors (Rs 1969.61 crore), Adani Enterprises (Rs 1449.22 crore), RIL (Rs 1422.94 crore), HDFC Bank (Rs 1273.05 crore), SBI (Rs 1196.79 crore), SAIL (Rs 1178.27 crore) and JSPL (Rs 1125.54 crore) were among the most active stocks on Dalal Street on Thursday in value terms.
Thursday’s most active stocks in volume terms
Vodafone Idea (Shares traded: 17.45 crore), SAIL (Shares traded: 12.42 crore), BHEL (Shares traded: 8.52 crore), JSW Steel (Shares traded: 7.20 crore), PNB (Shares traded: 6.84 crore), Tata Motors (Shares traded: 6.25 crore), IDFC First Bank (Shares traded: 5.51 crore), Ashok Leyland (Shares traded: 5.40 crore), Tata Steel (Shares traded: 5.31 crore) and JP Power (Shares traded: 4.73 crore) were among the most traded stocks in the session.
Stocks showing buying interest
Coforge, Deepak Fertilizers, Hindalco Industries, Infosys, Happiest Minds, JK Cement, Persistent Systems, JSW Steel, Pidilite Industries, Vedanta, Graphite India and Vinati Organics witnessed strong buying interest from market participants as they scaled their fresh 52-week highs on Thursday signalling bullish sentiment.
Stocks seeing selling pressure
AKG Exim, LCC Infotech, Ortin Laboratories and Suvidhaa Infoserve witnessed strong selling pressure in Thursday’s session and hit their 52-week lows, signalling bearish sentiment on these counters.
Sentiment meter favours bulls
Overall, market breadth remained in favour of bulls. As many as 306 stocks on the BSE 500 index settled the day in green, while 187 settled the day in red.
Podcast: Can Q4 earnings season propel Sensex to new highs? >>>
BSE benchmark Sensex hit 50K level while its NSE counterpart Nifty reclaimed 14,900 level, only to see selling pressure at highs, as both the indices eventually ended up with marginal gains. Sensex settled near 49,750, up 84 points while Nifty closed at 14,784, up 0.3 per cent. We spoke to Vinod Nair of Geojit Financial Services with us to share his views on the market.
