Business & Investment

Stock Market: Ahead of the Market: 12 Things to Determine Stock Behavior on Monday

New Delhi: Nifty Last week it continued to decline, forming long bearish candles on a daily and weekly scale.Its BSE counterpart Sensex Bears have scored more than 3,500 points in the last six sessions that dominated the pre-budget week.

Manish Hathiramani, Technical Analysts at Deen Dayal Investments, said: Autumn is very heavily supported, especially in the last hour of trading. Any rally-up can now be used to short Nifty for lower targets. The resistance is currently 14,000 and unless it exceeds that we will stay in the bear’s grip. ”

Vinod Nair, Head of Research at Geojit Financial Services, said weakening global trends are having a significant impact on the cautious pre-budget domestic market. He said the pace of recovery in the United States and Europe has slowed, affecting India’s exports and FII influx.

That said, let’s take a look at some key indicators of Monday’s behavior.

Wall Street falls after J & J vaccine data
U.S. stock index falls as investors assess the impact of Johnson & Johnson’s COVID-19 vaccine test results and standoffs between Wall Street hedge funds and small retail investors increase volatility However, the Friday session ended with the largest weekly decline since October. .. The Dow Jones Industrial Average fell 2.03% on Friday, the S & P 500 fell 1.93%, and the Nasdaq Composite fell 2%.

European stock Post the worst week since October
European stocks recorded the worst weekly performance since October as European stocks fell on Friday, raising concerns about the slow deployment of the COVID-19 vaccine and retail frenzy led to Wall Street volatility. Concerns over the potential financial damage and delays in vaccine deployment from new strains of coronavirus in Europe have lowered sentiment in the last few days. The benchmark STOXX 600 index fell 1.9%, Germany’s DAX fell 1.7%, and the UK’s best-selling FTSE 100 fell 1.8%.

Technical View: Nifty50 forms a long bearish candle
The long bearish candle on Friday’s daily chart shattered hopes for recovery, forcing analysts to set a short-term index target of 13,200. Mazhar Mohammad of said Nifty closed decisively below the 50-day simple average. Meanwhile, after a four-month gap, a long negative candle was formed on the weekly chart.

Please check Candlestick formation In the latest trading session

F & O: VIX surge, lower 5th session low signal sends weak signal
India VIX rose 4.33 percent from 24.29 to the 25.34 level. Soaring volatility due to sales pressure and the advancement of the 2021 budget can keep the market volatile and limit upsides. Since this is the beginning of a new series, option data is scattered at various exercise prices. In terms of options, the maximum put open position was 14,000 levels, followed by 13,000, and the maximum call OI was 15,000, followed by 14,500 levels. Option data suggests a wider trading range of 13,200 to 14,000 / 14,200 levels than the budget.

Stocks showing bullish bias
Friday Momentum Moving Average Convergence Divergence (MACD) is bullish at Cummins India, KRBL, KEC International, Mahindra Holidays, Punjab Chemicals and Crop Protection, TCI, Jindal Poly Films, TeamLease Service, Rossell India and Prime Securities counters Shown, IG Petrochemicals and JSW Holdings.

Stocks showing weakness in the future
MACD shows signs of bearishness at counters at Reliance Industries, JSW Energy, Voltas, Tata Coffee, Apollo Hospitals, Schneider Electric, Bajaj Finserv, DCW, Sequent Scientific, IFB Industries, Jai Balaji Industries, MRF, Agarwal Industrial Corporation and TV Today Network Shown. , SML Isuzu, STEL Holdings, GOCL Corporation, DP Wires, DP Abhushan, Alicon Castalloy.

Friday’s most active stock
RIL (Rs 3,775.85 Chlore), Tata Motors (Rs 3,748.05 Chlore), Shriram Transport Finance (Rs 2,298.55 Chlore), Maruti Suzuki (Rs 2,264.81 Chlore), Axis Bank (Rs 2,073.70 Chlore), Bajaj Finance (Rs 2,067.57 Chlore), HDFC Bank (Rs 1,992.38 Chlore), TVS Motor (Rs 1,956.60 Chlore), ICICI Bank (Rs 1,778.66 Chlore) and HDFC (Rs 1,773.10 Chlore) were one of the most active stocks on Dalal Street on Friday.

The most active stocks on Friday’s volume basis
Indian Railway Finance Corporation (traded shares: 38.19 chlores), Vodafone Idea (traded shares: 28.97 chlores), YES Bank (traded shares: 18.31 chlores), SAIL (traded shares: 17.16 chlores), Tata Motors (traded shares: 13.84 chlores), PNB (traded shares: 12.56 chlores), Indian Oil Corp (traded shares: 7.42 chlores), Bank of Baroda (traded shares: 7.28 chlores), Federal Bank It was one of the most traded stocks in the (Traded Stocks: 5.28 Chlore) and BHEL (Traded Stocks: 5.22 Chlore) sessions.

Stocks showing willingness to buy
Solara Active Pharma, TVS Motor, Suzuron Energy, Cummins India and Josie Labs hit a 52-week high on Friday, showing bullish sentiment and strong buying motivation from market participants.

Stocks watching sales pressure
Indian Railway Finance Corporation, Jump Networks and Niraj Cement Structurals witnessed strong selling pressure during the Friday session, hitting a 52-week low and showing bearish sentiment at these counters.

Sentiment meter supports bears
Overall, the breadth of the market remained favorable to bears. 179 stocks in the BSE 500 Index settled the day in green and 319 stocks settled the day in red.

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Stock Market: Ahead of the Market: 12 Things to Determine Stock Behavior on Monday Stock Market: Ahead of the Market: 12 Things to Determine Stock Behavior on Monday

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