Nifty, Sensex Trade in Green Following Two-Day Losing Streak

Following two days of incessant declines in the Indian benchmark indices, Nifty and Sensex were again trading in green in today’s trading session. At 10:45 am, Sensex was up 0.39 percent at 79,792.85, while Nifty was up 88.30 points or 0.37 percent at 24,236.50. In total, about 1396 shares gained and 1,935 shares traded in red.

Siddhartha Khemka, Head of Research and Wealth Management at Motilal Oswal said, “FIIs have been selling equities for the last 29 consecutive days amounting to Rs 1.41 lakh crore denting investor sentiments. Markets are expected to remain sideways on the back of mixed global factors and subdued quarterly results. However, there could be stock-specific action on account of the last leg of Q2 earnings to be announced next week.”

Stocks including Tata Motors and Asian Paints were making the headlines in today’s trading session. While automobile major’s stock grew by 2% to ₹822, shares of Asian Paints fell by over 8%. Notably, the paint manufacturer disappointed the brokerage houses as it faced heighted downgrades on the back of poor Q2 earnings.

Broader markets, mainly the mid-small cap index fell by 0.3 and 0.5 percent, respectively. On the other hand, India Vix jumped past 5%.

Choice Broking said, “The Nifty's inability to hold above this threshold indicates that bulls are lacking strength to push the index higher. On the downside, the 24,000 and 23,650 levels are expected to provide strong support, which may present buying opportunities for long positions.”

It added, “Should the Nifty manage to maintain above 24,500 in the coming week, it could gain momentum and test higher levels around 24,800 and 25,200. However, if support at 24,000 and 23,650 is breached, we may see further downside pressure.”

Nifty Auto and IT lead the pack in today’s trading session as the shares of TCS, Infosys, and HCL Tech were trading in green. On the other hand, Nifty Metal, and Healthcare were trading in the red.