Technical Overview – Nifty 50
On Thursday, the benchmark index opened higher. Index has created a DOJI candle. The index consolidated for the majority of the session between 22640 and 22910. The index has retraced the 0.786 Fibonacci retracement level of the 4th June dip.
The index is trading above the main short-term EMAs of 10, 20, and 50. Momentum indicator RSI (14) has reversed from its reversal zone of 38-45 and is presently approaching 55 levels.
Immediate support levels for the index may be positioned around 22,600 and 22,450, while 22,900 and 23,150 should be observed as resistance levels.
Technical Overview – Bank Nifty
The banking index saw no noticeable change, closing nearly flat for the day. The index started higher but failed to hold its near-day high. The index held steady at 48,900, the session low from Thursday. The index consolidated during the day and is in a positive to a sideways trend.
On a daily basis, the banking index formed a DOJI candle. The index is trading near the pivot point of a rising channel pattern. The index is trading above the major short-term moving averages of 10, 20, and 50. Over a 75-minute period, the index established support at 9 EMA.
Momentum indicator RSI (14) has reversed from an oversold condition and is presently reaching 55 levels. Immediate support levels in the index include 48,500, and 48,050, while 49,750, and 50,100 are possible resistance levels that should be attentively monitored.
Indian markets:
- Indian stock markets ended positively for the second consecutive session on news of the BJP-led NDA securing a third consecutive term. Global stocks rose on expectations of a US rate cut and sustained growth in artificial intelligence.
- BSE MidCap rose by 2.3 percent, and BSE SmallCap saw a jump of 3.06 percent.
- Among sectoral indices, BSE Realty led with a gain of 4.85 percent, followed by BSE Industrials and Capital Goods, which rose by over 3.7 percent and 3.4 percent, respectively.
- Other notable gainers included the Oil & Gas, Power, Telecommunication, and IT sectors, each increasing by over 2.5 percent.
Global Markets:
- Asia-Pacific stocks rose on Thursday on expectations of a rate cut by the European Central Bank, with softer U.S. labor market data fueling hopes that the Federal Reserve might follow suit, further boosting market sentiment.
- The ECB appears set to cut borrowing costs for the euro area this week for the first time since September 2019. Japan’s Nikkei 225 climbed 0.55%, closing at 38,703.51 after giving up some gains, while the broad-based Topix rose 0.33% to end at 2,757.23.
- Australia’s S&P/ASX 200 closed 0.68% higher at 7,821.8, despite the country’s exports falling to their lowest level since December 2021.
- Hong Kong’s Hang Seng index rose 0.23%, paring earlier gains, while mainland China’s CSI 300 ended marginally lower at 3,592.25.
Stocks in Spotlight
- BHEL shares closed 9 percent higher after announcing a major order win of over Rs 3,500 crore from Adani Power. The order is for setting up a 2×800 MW thermal power plant (TPP) in Raipur, Chhattisgarh, with BHEL supplying the equipment. Additionally, value buying after a sharp correction in the stock contributed to the gains.
- Zee Entertainment Enterprises shares surged 6 percent after its board granted in-principle approval to raise up to Rs 2,000 crore through the issuance of shares or eligible securities.
- Heritage Foods shares jumped another 10 percent following the confirmation that Telugu Desam Party (TDP) leader Chandrababu Naidu will become the Chief Minister of Andhra Pradesh after the recent assembly elections. The dairy products manufacturer’s key figures, Nara Bhuvaneshwari and Nara Lokesh, are the wife and son of the Chief Minister-elect, respectively.
News from the IPO world🌐
- Hero FinCorp approves Rs 4,000 crore fundraise via IPO
- Kronox Lab Sciences IPO booked 118x on last day.
- Kedaara-backed Ajax Engineering is said to plan India IPO
Daily Leader board:
Sectoral Performance
| Top Sectors | Day change (%) |
| NIFTY REALTY | 4.7 |
| NIFTY MEDIA | 3.7 |
| NIFTY PSU BANK | 2.9 |
| NIFTY IT | 2.8 |
| NIFTY OIL & GAS | 2.4 |
Advance Decline Ratio
| Advance/Declines | Day change (%) |
| Advances | 3012 |
| Decline | 831 |
| Unchanged | 102 |
Numbers to track
| Indices Name | Latest | % 1D | % YTD |
| Dow Jones (US) | 38,807 | 0.3 % | 2.9 % |
| 10 Year Gsec India | 7.0 | (0.1) % | (0.3) % |
| WTI Crude (USD/bbl) | 73 | (1.3) % | 4.1 % |
| Gold (INR/10g) | 72,678 | 0.5 % | 8.3 % |
| USD/INR | 83.48 | 0.4 % | 0.5 % |
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