Nifty Pre-Market Buzz: What to Watch Before the Opening Bell
The Nifty opened on a positive note however during the day it witnessed selling pressure and ended the day on a negative note down ~82 points. On the daily charts we can observe that the Nifty has witnessed follow-through selling pressure from the upper boundary (22000). On the hourly momentum indicator, we could witness a negative divergence which indicated loss of momentum on the upside. Overall, the range bound trading action is likely to continue until we get a decisive close below the extremes of the broad range 22000 – 21200.
The momentum setup on the daily and hourly time frames are providing divergent signals which again suggests sideways price action. Thus, parameters are suggesting that the consolidation is likely to continue. Stock specific action and sector rotation is likely to continue during this period of consolidation. Key support levels are 21640 – 21600 while immediate hurdle zone is placed at 21950 – 2200
* Nifty 50 is trading at 17,850.50, down 0.22% from its previous close.
* 17 out of the 50 Nifty stocks are trading in the green, while 33 are trading in the red.
* The top gainers in the Nifty 50 are Hindalco Industries (+2.43%), UPL (+2.37%), and Kotak Mahindra Bank (+1.84%).
* The top losers in the Nifty 50 are Eicher Motors (-2.39%), Maruti Suzuki (-1.87%), and Bajaj Auto (-1.68%).
Our Recommended Strike Price was Nifty 21750 – 22050
Bank Nifty Pre-Market Buzz: What to Watch Before the Opening Bell
Bank Nifty witnessed follow through selling pressure from the previous trading session. It closed below the key averages indicating weakness. Overall, the Trend remains sideways and the range of consolidation is likely to be 45000 – 47000.
The Bank Nifty is expected to take support at 45,664 followed by 45,562 and 45,396 levels, while on the higher side, the index may see resistance at 45,865 followed by 46,098 and 46,263 levels.
Our Recommended Strike Price was Bank Nifty 45900 – 46300
Stocks on News
Britannia Industries : The company is slated to release its December quarter earnings, which is likely to have been muted amid weak volumes, subdued rural demand, higher raw material costs, and likely price cuts in some categories.The FMCG major is seen reporting a moderate 1.2% year-on-year (YoY) growth in consolidated revenue, a 0.1% drop in operating profit to Rs 817 crore, and consequently, a 0.4% fall in the net profit to Rs 555 crore.
Our Recommended Strike Price was Britannia Industries 5100 – 5250
Bharti Airtel : Bharti Airtel’s consolidated net profit for the December quarter jumped 54% from a year earlier, driven by increases in data users, per-capita revenue, and data usage. However, the consolidated results were dragged by currency devaluations in Africa.Consolidated revenue at Rs 37,900 crore, was up 2.3% sequentially and 5.9% higher from a year earlier.
Our Recommended Strike Price was Bharti Airtel 1120 – 1170