Strong Q2 Performance: Sun Pharmaceuticals’ Profit Grows 5%, BPCL Swings into Profit

Technical Overview – Nifty 50

Nifty hit the pause button after Recording a high of 19,233 levels and formed a bearish dark cloud cover candle stick pattern on the daily time frame. The index opened with a bearish note and witnessed a rising channel pattern breakdown on the 30 mins chart.

After a flat opening, the Nifty slipped slowly into the red and is trading near the previous support of 19000. The OI data is not comfortable & skewed mild negative, but the price action at present is muted. On the daily chart, the index has closed below the low of its previous day’s candle which confirms the validity of the bearish candlestick pattern.

The index continues to trade below its 9,21, and 50 DEMA which is a bearish sign for the index. The momentum oscillator RSI (14) is moving in a lower-high formation with a bearish crossover.

In the coming trading session, 19200 is likely to act as an immediate hurdle as the 19200 Call strike holds substantial OI. On the downside, 18,900 is expected to act as immediate support. Fed event outcome expected hence volatility is expected to remain high.

Technical Overview – Bank Nifty

The Bank Nifty on 1st November witnessed a bearish to flat opening but prices witnessed a selling pressure and has given a rising channel pattern breakdown on the intraday chart. After forming a bearish dark cloud cover candle stick pattern on the daily time frame the index closed below the same indicating a confirmation of the pattern.

The index continues to trade below its 9,21, and 50 DEMA which is a bearish sign for the index. The momentum oscillator RSI (14) is moving in a lower-high formation with a bearish crossover. The OI data is not comfortable & skewed mild negative, but the price action at present is muted.

The Bank Nifty seems to have completed its pullback of the bearish breakdown on the daily chart. In the coming trading session, 43,500 is likely to act as an immediate hurdle as the 43,500 Call strike holds substantial OI. On the downside, 42,100 is expected to act as immediate support. Fed event outcome expected hence volatility is expected to remain high.

Indian markets:

• The domestic stock market experienced a decline with the Nifty index falling below 19,000 on Wednesday.
• The drop was influenced by India’s weak manufacturing data for October and the anticipation of the Federal Open Market Committee (FOMC) meeting outcome.
• Despite positive global signals, the Indian market opened lower and remained range-bound in the initial trading hours.
• Losses extended throughout the day due to increased selling pressure across multiple sectors.
• As a result, the market closed near its lowest point of the day.

Global Markets

• The Dow Jones index futures were down 106 points, indicating a negative opening in the US stocks today.
• Markets in Europe advanced while most Asian stocks ended higher on Wednesday as investors looked ahead to the key policy decision on interest rates from the U.S. Federal Reserve.
• The Fed will conclude its two-day monetary policy meeting later in the day, with markets expecting the central bank to stand pat on interest rates.
• China’s Caixin/S&P Global manufacturing PMI fell to 49.5 in October from 50.6 in September, marking the first contraction since July.
• US stocks closed higher on Tuesday, regaining some ground at the end of a dismal month that was defined by surging interest rates.

Stocks in Spotlight

• Sun Pharmaceuticals Ltd: Shares of the pharma major surged over 2.5% to Rs 1,116, after it reported a 5% year-on-year rise in consolidated net profit to Rs 2,375.5 crore for the July-September quarter of the current financial year, beating estimates. The company had reported a profit of Rs 2,262.22 crore in the same period last year. Revenue came in at Rs 12,192 crore, up 11.3% from the year-ago quarter numbers of Rs 10,952.3 crore.
• BPCL Ltd: Shares of the petroleum major rose over 2% to Rs 356 on November 1, extending gains for the second day in a row. In Q2, it swung into a consolidated net profit of Rs 8,501 crore in Q2 FY24, against a net loss of Rs 304 crore a year ago, mainly due to softer crude oil prices and low raw material costs.
• TVS Motor Company reported a 21% increase in total dispatches, reaching 434,714 units in October, marking its highest-ever monthly sales. Two-wheeler sales rose to 420,610 units, a 22% increase from the previous year, with domestic two-wheeler sales growing by 25%. Motorcycle sales increased by 23%, while scooter sales saw a 22% increase. The company also sold 20,153 units of the iQube electric scooter, a significant rise from the previous year. However, three-wheeler sales declined, and total exports grew by 6%.

News from the IPO world🌐

• ESAF IPO to open on 3rd November
• Protean eGov Technologies IPO to open on November 6, sets Rs 752-792 price band
• ASK Automotive to launch IPO on November 7

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