Following a massive spike over the previous two trading days, the Indian equities markets saw profit booking on Thursday. The Nifty bulls may not have been happy with a 300-point decline after reaching an intraday high of 24,503.35, as they are now preparing for the outcome of the US Federal Reserve's policy decision.
The Sensex dropped 836 points to close at 79,542, while the Nifty 50 ended the day close to 24,200, down more than 1.10 percent from its previous close. Midcaps did better than the Nifty, which fell 1%, while the Midcap index fell 0.5%.The Aditya Birla Group company Hindalco Ltd.'s shares were the biggest losers on the Nifty 50 index today. The main reason for the stock price decline was Novelis's decision to revoke its $525 short-term EBITDA per tonne forecast. Novelis blamed tight scrap spreads brought on mainland China's accelerated scrap acquisitions for the guidance suspension.
On Friday, the Street will respond to the FOMC's interest rate decision. A 25 basis point rate cut has been roughly entirely priced in by traders, but they will closely monitor the central bank's policy announcement for any hints about the direction of monetary easing going forward.
Results will be released on November 8 by a number of stocks, including State Bank of India, Tata Motors, MRF, Ashok Leyland, Equitas Small Finance Bank, CE Info Systems, Bajaj Hindusthan Sugar, India Cements, INOX India, and Dreamfolks Services.
On Thursday, local institutions were once again net purchasers in the cash market, while foreign institutions remained net sellers.
According to Ajit Mishra of Religare Broking, Nifty maintained a pessimistic tone, dropping early and remaining that way throughout the day, despite the US markets' robust overnight performance following Donald Trump's victory.
According to Mishra, the index's inability to break over the 24,500 resistance once more raises the possibility that consolidation will persist, with 24,000 serving as a critical support level.
Osho Krishan of Angel One claims that the most recent price fluctuations reflect the underlying attitude because markets retreated into the sleep zone after failing to exhibit persistent buying following the momentum shown in the previous two sessions.
Technically speaking, Krishan anticipates that 24000 will serve as an intermediary support and may act as a buffer for any intraday lurches. In the same time frame, the sacred support of 23900–23800 will follow. "On the higher end, 24400-24500 remains a daunting task for the bulls, and until a sustainable breach takes place, we might witness a continuation in the sideways movement for Nifty."
According to Rupak De of LKP Securities, the market has experienced substantial profit booking as a result of the Nifty 50 index's steep decline after it was unable to break above the 21 EMA. Weak market sentiment is indicated by the bearish engulfing pattern that has developed on the daily chart. According to De, if the Nifty maintains a strong hold below 24,200, this mood might get worse. The 24,500–24,550 range could serve as resistance on the higher end.
Prashanth Tapse of Mehta Equities stated, "Aggressive downside targets are at Nifty's 200 DMA at 23496 mark; immediate downside risk on Nifty is placed at 23816 mark."
401 points are dropped by Nifty Bank.
At 51,917, the Nifty Bank index ended the day 401 points lower after opening negatively and seeing profit booking. Technically, during the past week, the index has been consolidating around the range of 50,400 to 52,580.
Technically speaking, Krishan anticipates that 24000 will serve as an intermediary support and may act as a buffer for any intraday lurches. In the same time frame, the sacred support of 23900–23800 will follow. "On the higher end, 24400-24500 remains a daunting task for the bulls, and until a sustainable breach takes place, we might witness a continuation in the sideways movement for Nifty."
Prashanth Tapse of Mehta Equities stated, "Aggressive downside targets are at Nifty's 200 DMA at 23496 mark; immediate downside risk on Nifty is placed at 23816 mark."
401 points are dropped by Nifty Bank.
At 51,917, the Nifty Bank index ended the day 401 points lower after opening negatively and seeing profit booking. Technically, during the past week, the index has been consolidating around the range of 50,400 to 52,580.
"The index has had higher lows but hasn't been able to break through the 52,580 barrier. The 150-day exponential moving average (DEMA), which is situated close to the 50,540 levels, is being respected by the index on the downside. Only a new upward advance would be feasible if the index held above 52,580; if not, it would continue to consolidate, according to Hrishikesh Yedve, AVP Technical and Derivatives Research at Asit C. Mehta Investment Intermediates.
Due to selling in large-cap private sector banks, the Bank Nifty saw a correction in the first hour of trading. However, on the downside, the index found support around levels between 51750 and 51800 and had a slight decline from those levels. According to Aditya Agarwal of Sanctum Wealth, the Bank Nifty's overall structure is bullish, and drops towards 51700–51500 can be leveraged as a buying opportunity for targets of 52350–52600.
The following equities are worth keeping an eye on before Friday's trading session:
NHPC's net profit dropped 41% to ₹909 crore from the previous year. Revenue reached ₹3,052 crore, up 4% from the previous year. EBITDA increased 1.7% to ₹1,799 crore from the previous year, with a margin of 58.9%.
The following equities are worth keeping an eye on before Friday's trading session:
NHPC's net profit dropped 41% to ₹909 crore from the previous year. Revenue reached ₹3,052 crore, up 4% from the previous year. EBITDA increased 1.7% to ₹1,799 crore from the previous year, with a margin of 58.9%.
SAIL's net profit dropped 31% to ₹897 crore from the previous year. Revenue was ₹24,675 crore, a 17% decrease from the previous year. EBITDA decreased by 24.8% to ₹2,912.8 crore from the previous year, with a margin of 11.8%.
Lupin's net profit increased to ₹852.6 crore, a 74.4% increase from the previous year. Revenue reached ₹5,672.7 crore, up 12.6% from the previous year. EBITDA increased by 46% to ₹1,340 crore from the previous year, with a margin of 23.6%.
Ircon's net profit dropped 17.8% to 206 crore from the previous year. Revenue was ₹2,447.5 crore, a 19.3% decrease from the previous year. EBITDA decreased 23.3% to ₹201 crore from the previous year, with a margin of 8.2%.
ITD Cementation's net profit increased to ₹72 crore, a 34% increase over the previous year. Revenue reached ₹1,991 crore, up 23.6% from the previous year. EBITDA increased.
Lupin's net profit increased to ₹852.6 crore, a 74.4% increase from the previous year. Revenue reached ₹5,672.7 crore, up 12.6% from the previous year. EBITDA increased by 46% to ₹1,340 crore from the previous year, with a margin of 23.6%.
Ircon's net profit dropped 17.8% to 206 crore from the previous year. Revenue was ₹2,447.5 crore, a 19.3% decrease from the previous year. EBITDA decreased 23.3% to ₹201 crore from the previous year, with a margin of 8.2%.
ITD Cementation's net profit increased to ₹72 crore, a 34% increase over the previous year. Revenue reached ₹1,991 crore, up 23.6% from the previous year. EBITDA increased.
NCC: Net profit increased to ₹174.8 crore over the previous year. Revenue reached ₹5,196 crore, a 10% increase over the previous year. EBITDA increased by 45.8% to ₹443 crore from the previous year, with a margin of 8.5%.
Emami's net profit increased by 19% to ₹212.7 crore over the previous year. Revenue reached ₹890.6 crore, up 3% from the previous year. EBITDA reached ₹234 crore, up 7% from the previous year. The margin was 28%.
India Metals: ₹125 crore in net profit, 40% more than the previous year. The revenue was ₹692 crore. EBITDA increased 13.4% to ₹171 crore from the previous year, with a margin of 24.6%.
Astral's net profit dropped 17.5% to ₹108.7 crore from the previous year. Revenue reached ₹1,370 crore, up 0.5% from the previous year. EBITDA decreased 4.5% to ₹210 from the previous year.
Emami's net profit increased by 19% to ₹212.7 crore over the previous year. Revenue reached ₹890.6 crore, up 3% from the previous year. EBITDA reached ₹234 crore, up 7% from the previous year. The margin was 28%.
India Metals: ₹125 crore in net profit, 40% more than the previous year. The revenue was ₹692 crore. EBITDA increased 13.4% to ₹171 crore from the previous year, with a margin of 24.6%.
Astral's net profit dropped 17.5% to ₹108.7 crore from the previous year. Revenue reached ₹1,370 crore, up 0.5% from the previous year. EBITDA decreased 4.5% to ₹210 from the previous year.
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