NIFTY Commodities

Nifty 50 must defend 25,800 for rally toward psychological zone, Next resistance for Nifty 50 seen at 26,000 mark, Immediate support is placed at 25,800

* Nifty 50 must defend 25,800 for rally toward psychological zone
* Next resistance for Nifty 50 seen at 26,000 mark
* Immediate support is placed at 25,800

shorts/business/technical-view-nifty-50-must-defend-25-800-for-rally-toward-psychological-zone-bank-nifty-may-extend-uptrend-if-it-holds-above-60-400

* Nifty 50 must defend 25,800 for rally toward psychological zone
* Next resistance for Nifty 50 seen at 26,000 mark
* Immediate support is placed at 25,800

The Nifty 50 decisively scaled above 25,800 after a gap-up opening following the announcement of the India–US interim trade agreement over the weekend, closing with a nearly seven-tenths of a percent rally on February 9 and making a strong start to the week. Sustaining above all key moving averages, positive momentum indicators, and the expansion of Bollinger Bands provided enough strength to the market.

If the benchmark index manages to sustain above 25,800, a rally toward the psychological 26,000 mark cannot be ruled out in the upcoming sessions. Until then, it may consolidate, with immediate support placed at 25,780; below this level, selling pressure could emerge, experts said.

The Nifty 50 opened nearly 200 points higher at 25,889 and remained range-bound on the higher side. The index sustained above 25,800 amid range-bound trading and finished the session at 25,867, up 174 points (0.68 percent), forming a small bearish candle with a long lower shadow on the daily timeframe, indicating buying interest at lower levels.

The opening upside gap of February 3 is still partially open and has now been added to Monday’s up-gap. This is a positive indication and signals the formation of a bullish runaway gap, which is normally formed in the middle of an uptrend.

Hence, according to Nagaraj Shetti, Senior Technical Research Analyst at HDFC Securities, the underlying trend of the Nifty remains positive. “The next upside levels to be watched are around 26,000 and 26,350 in the near term. Immediate support is placed at 25,700,” he said.

The momentum indicators remained positive, with the RSI climbing to 56.2. The MACD gained further strength, moving toward the zero line, while the histogram extended its upward journey.

Weekly options data also suggested the next resistance for the Nifty 50 at the 26,000 mark, with immediate support at 25,800. The maximum Call open interest was seen at the 26,000 strike, followed by the 25,900 and 26,500 strikes, with maximum Call writing at the 26,000, 25,900, and 25,850 strikes. Meanwhile, the 25,800 strike held the maximum Put open interest, followed by the 25,700 and 25,500 strikes, with maximum Put writing at the 25,800, 25,850, and 25,750 strikes.

Meanwhile, the fear gauge India VIX snapped its five-day losing streak and rose 2.09 percent to 21.19 but sustained below the 200-day EMA and short-term moving averages, signalling comfort for bulls.

Bank Nifty

The Bank Nifty also witnessed a gap-up opening and convincingly surpassed its previous record high of 60,437, outperforming the benchmark Nifty 50. The banking index surged 549 points (0.91 percent) to 60,669 and formed a bearish candle on the daily charts near the upper Bollinger Bands. This marked the second bullish gap created by the index in the current month after February 3, while sustaining above the falling support trendline.

All key moving averages trended upward, with a bullish bias in momentum indicators. The RSI maintained a bullish crossover and held above the 60 zone, while the MACD trended higher with further strength in the histogram.

According to Vatsal Bhuva, Technical Analyst at LKP Securities, the overall bullish chart structure remains intact, with the base gradually shifting higher, suggesting accumulation at elevated levels.

“A buy-on-dips strategy can be adopted as long as the index sustains above the crucial 60,000 mark. On the levels front, immediate support is placed near 60,000, while resistance is seen around the 60,900 zone,” he said.

Disclaimer: The views and investment tips expressed by experts on Moneycontrol are their own and not those of the website or its management. Moneycontrol advises users to check with certified experts before taking any investment decisions.

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Technical View: Nifty 50 must defend 25,800 for rally toward psychological zone; Bank Nifty may extend uptrend if it holds above 60,400

The Nifty 50 decisively scaled above 25,800 after a gap-up opening following the announcement of the India–US interim trade agreement over the weekend, closing with a nearly seven-tenths of a percent rally on February 9 and making a strong start to the week. Sustaining above all key moving averages, positive momentum indicators, and the expansion of Bollinger Bands provided enough strength to the market.

If the benchmark index manages to sustain above 25,800, a rally toward the psychological 26,000 mark cannot be ruled out in the upcoming sessions. Until then, it may consolidate, with immediate support placed at 25,780; below this level, selling pressure could emerge, experts said.

The Nifty 50 opened nearly 200 points higher at 25,889 and remained range-bound on the higher side. The index sustained above 25,800 amid range-bound trading and finished the session at 25,867, up 174 points (0.68 percent), forming a small bearish candle with a long lower shadow on the daily timeframe, indicating buying interest at lower levels.

The opening upside gap of February 3 is still partially open and has now been added to Monday’s up-gap. This is a positive indication and signals the formation of a bullish runaway gap, which is normally formed in the middle of an uptrend.

Hence, according to Nagaraj Shetti, Senior Technical Research Analyst at HDFC Securities, the underlying trend of the Nifty remains positive. “The next upside levels to be watched are around 26,000 and 26,350 in the near term. Immediate support is placed at 25,700,” he said.

The momentum indicators remained positive, with the RSI climbing to 56.2. The MACD gained further strength, moving toward the zero line, while the histogram extended its upward journey.

Weekly options data also suggested the next resistance for the Nifty 50 at the 26,000 mark, with immediate support at 25,800. The maximum Call open interest was seen at the 26,000 strike, followed by the 25,900 and 26,500 strikes, with maximum Call writing at the 26,000, 25,900, and 25,850 strikes. Meanwhile, the 25,800 strike held the maximum Put open interest, followed by the 25,700 and 25,500 strikes, with maximum Put writing at the 25,800, 25,850, and 25,750 strikes.

Meanwhile, the fear gauge India VIX snapped its five-day losing streak and rose 2.09 percent to 21.19 but sustained below the 200-day EMA and short-term moving averages, signalling comfort for bulls.

Bank Nifty

The Bank Nifty also witnessed a gap-up opening and convincingly surpassed its previous record high of 60,437, outperforming the benchmark Nifty 50. The banking index surged 549 points (0.91 percent) to 60,669 and formed a bearish candle on the daily charts near the upper Bollinger Bands. This marked the second bullish gap created by the index in the current month after February 3, while sustaining above the falling support trendline.

All key moving averages trended upward, with a bullish bias in momentum indicators. The RSI maintained a bullish crossover and held above the 60 zone, while the MACD trended higher with further strength in the histogram.

According to Vatsal Bhuva, Technical Analyst at LKP Securities, the overall bullish chart structure remains intact, with the base gradually shifting higher, suggesting accumulation at elevated levels.

“A buy-on-dips strategy can be adopted as long as the index sustains above the crucial 60,000 mark. On the levels front, immediate support is placed near 60,000, while resistance is seen around the 60,900 zone,” he said.

Disclaimer: The views and investment tips expressed by experts on Moneycontrol are their own and not those of the website or its management. Moneycontrol advises users to check with certified experts before taking any investment decisions.

Indian indices rose after India-US interim trade deal cut tariffs to 18 percent, Sensex rose 485 points, Nifty up 174; midcap and smallcap outperformed., All sector indices rose; SBI shares surged 7.5% on strong Q3 profit.

* Indian indices rose after India-US interim trade deal cut tariffs to 18 percent
* Sensex rose 485 points, Nifty up 174; midcap and smallcap outperformed.
* All sector indices rose; SBI shares surged 7.5% on strong Q3 profit.

Indian benchmark indices rose, driven by positive global cues and an interim India-US trade deal reducing tariffs. Sensex gained 485 points, Nifty 174. Broader markets outperformed. SBI, Titan, and Dr Reddy’s led gains; all sectoral indices closed in the green.

shorts/business/taking-stock-sensex-jumps-485-pts-nifty-above-25-850-on-india-us-trade-deal-boost

* Indian indices rose after India-US interim trade deal cut tariffs to 18 percent
* Sensex rose 485 points, Nifty up 174; midcap and smallcap outperformed.
* All sector indices rose; SBI shares surged 7.5% on strong Q3 profit.

Indian benchmark indices extended gains from the previous session, supported by positive global cues and broad-based buying across sectors, after the announcement of a <a href="https://www.moneycontrol.com/news/business/trade/india-us-interim-trade-pact-what-s-in-it-for-india-what-s-in-it-for-the-us-13816465.html">interim trade framework with the US</a> that includes a reduction in reciprocal tariffs to 18 percent on several Indian goods.

The market began the session on a strong footing, with the Nifty opening around 25,900. Extended buying pushed the index to an intraday high of 25,922.25; however, selling at higher levels pared some of the gains, but the benchmark comfortably closed above 25,850.

At close, the Sensex was up 485.35 points or 0.58 percent at 84,065.75, and the Nifty was up 173.60 points or 0.68 percent at 25,867.30.

Broader markets outperformed the benchmarks, with the Nifty Midcap index rising 1.6 percent and the Smallcap index jumping 2.6 percent.

Also Read - <a href="https://www.moneycontrol.com/news/business/earnings/revenue-grows-at-fastest-pace-in-eleven-quarters-profit-growth-remains-subdued-13818255.html">Revenue grows at fastest pace in eleven quarters; profit growth remains subdued</a>

State Bank of India, Shriram Finance, Titan, Dr Reddy's Laboratories and Grasim Industries were among top gainers on the Nifty, while losers were Max Healthcare, Power Grid Corporation, ITC, ONGC and NTPC.

All the sectoral indices ended in the green with media, consumer durables, realty, PSU Bank, pharma, healthcare, metal up 1-3 percent.

Also Read - <a href="https://www.moneycontrol.com/news/business/markets/diis-overtake-fiis-in-nifty50-ownership-for-the-first-time-13817721.html">DIIs overtake FIIs in Nifty50 ownership for the first time</a>

In stock specific actions, State Bank of India share price rose 7.5 percent as Q3 profit rose 24%, Apex Frozen Foods and Avanti Feeds shares rose 7-9 percent on India-US trade deal, diamonds &amp; gemstones stocks jumped on waiving of tariff on exports to the USA, while AXISCADES Technologies shares surged 5 percent on order win from HAL.

HBL Engineering shares fell 2 percent despite Q3 consolidated profit zooming over 3-fold, Force Motors share price added 4.3 percent on acquiring 100 percent equity shares in Veera Tanneries, Patanjali Foods shares up 1 percent after 53.60 lakh shares (1.48% equity) changed hands in block deals, BEML shares rose 9 percent on board approval for Rs 1,500 crore investment for a greenfield rail manufacturing facility.

Also Read - <a href="https://www.moneycontrol.com/news/business/markets/sbi-becomes-sixth-indian-firm-to-cross-rs-10-lakh-crore-mcap-13818303.html">SBI becomes sixth Indian firm to cross Rs 10 lakh crore mcap</a>

More than 140 stocks touched their 52-week highs, including SBI, MRPL, Bank of India, GE Shipping, Bharat Forge, Force Motors, Navin Fluorine, Tata Steel, Adani Ports, APL Apollo, JSW Steel, Jindal Steel, Nykaa, SAIL, among others. <a href="https://www.moneycontrol.com/stocks/market-stats/52-week-high-bse/?indexName=BSE%2520500&amp;id=12">Click to View More</a>

Outlook for February 10

Nagaraj Shetti, Senior Technical Research Analyst at HDFC Securities

Nifty witnessed a sharp up move on the back of strong global cues on Monday and closed the day higher by 173 points. After opening with an upside gap of 194 points, the market shifted into a consolidation with positive bias for better part of the session. The opening upside gap has been filled partially.

A small red candle was formed on the daily chart with gap up opening. After a massive rally and a consolidation in the early part of February, the market bounced back smartly and sustained above the hurdle of 25800 levels. The opening upside gap of 3rd Feb is still open partially and that has been added with Monday's up gap. This is positive indication and signals a formation of bullish runaway gap, which are normally formed in the middle of uptrend.

The underlying trend of Nifty remains positive. The next upside levels to be watched around 26000 and 26350 in the near term. Immediate support is placed at 25700.

Ajit Mishra – SVP, Research, Religare Broking

Markets traded with strength on Monday and remained firmly in positive territory, supported by encouraging global cues and optimism around an interim India–US trade framework. The benchmark indices opened higher, with the Nifty moving above the 25,800 level in early trade and holding gains through the session to finally close at 25,867.30. Buying interest was widespread, with realty, metal and pharma among the top gainers, while midcap and smallcap segments also posted notable advances, signalling an improvement in risk appetite after the recent bout of weakness.

Investor sentiment was lifted by reports that India and the United States have moved closer to a trade agreement that includes tariff reductions and deeper economic cooperation. This development helped remove a key overhang that had been weighing on markets and triggered fresh buying across sectors. Mixed global cues, along with supportive moves in Asian markets, further reinforced the positive undertone.

The latest move in the index suggests a likely retest of the 26,000 level on the Nifty soon, and a decisive breakout above this zone could open the path toward a new record high. We therefore reiterate a buy-on-dips approach, with emphasis on stock selection based on sectoral strength. Most key sectors, except IT, are participating in the up move, though on a rotational basis, so positions should be aligned accordingly with disciplined risk management.

Disclaimer: The views and investment tips expressed by experts on Moneycontrol.com are their own and not those of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.

Taking Stock: Sensex jumps 485 pts, Nifty above 25,850 on India-US trade deal boost

Indian benchmark indices extended gains from the previous session, supported by positive global cues and broad-based buying across sectors, after the announcement of a interim trade framework with the US that includes a reduction in reciprocal tariffs to 18 percent on several Indian goods.

The market began the session on a strong footing, with the Nifty opening around 25,900. Extended buying pushed the index to an intraday high of 25,922.25; however, selling at higher levels pared some of the gains, but the benchmark comfortably closed above 25,850.

At close, the Sensex was up 485.35 points or 0.58 percent at 84,065.75, and the Nifty was up 173.60 points or 0.68 percent at 25,867.30.

Broader markets outperformed the benchmarks, with the Nifty Midcap index rising 1.6 percent and the Smallcap index jumping 2.6 percent.

Also Read - Revenue grows at fastest pace in eleven quarters; profit growth remains subdued

State Bank of India, Shriram Finance, Titan, Dr Reddy's Laboratories and Grasim Industries were among top gainers on the Nifty, while losers were Max Healthcare, Power Grid Corporation, ITC, ONGC and NTPC.

All the sectoral indices ended in the green with media, consumer durables, realty, PSU Bank, pharma, healthcare, metal up 1-3 percent.

Also Read - DIIs overtake FIIs in Nifty50 ownership for the first time

In stock specific actions, State Bank of India share price rose 7.5 percent as Q3 profit rose 24%, Apex Frozen Foods and Avanti Feeds shares rose 7-9 percent on India-US trade deal, diamonds &amp;amp; gemstones stocks jumped on waiving of tariff on exports to the USA, while AXISCADES Technologies shares surged 5 percent on order win from HAL.

HBL Engineering shares fell 2 percent despite Q3 consolidated profit zooming over 3-fold, Force Motors share price added 4.3 percent on acquiring 100 percent equity shares in Veera Tanneries, Patanjali Foods shares up 1 percent after 53.60 lakh shares (1.48% equity) changed hands in block deals, BEML shares rose 9 percent on board approval for Rs 1,500 crore investment for a greenfield rail manufacturing facility.

Also Read - SBI becomes sixth Indian firm to cross Rs 10 lakh crore mcap

More than 140 stocks touched their 52-week highs, including SBI, MRPL, Bank of India, GE Shipping, Bharat Forge, Force Motors, Navin Fluorine, Tata Steel, Adani Ports, APL Apollo, JSW Steel, Jindal Steel, Nykaa, SAIL, among others. Click to View More

Outlook for February 10

Nagaraj Shetti, Senior Technical Research Analyst at HDFC Securities

Nifty witnessed a sharp up move on the back of strong global cues on Monday and closed the day higher by 173 points. After opening with an upside gap of 194 points, the market shifted into a consolidation with positive bias for better part of the session. The opening upside gap has been filled partially.

A small red candle was formed on the daily chart with gap up opening. After a massive rally and a consolidation in the early part of February, the market bounced back smartly and sustained above the hurdle of 25800 levels. The opening upside gap of 3rd Feb is still open partially and that has been added with Monday's up gap. This is positive indication and signals a formation of bullish runaway gap, which are normally formed in the middle of uptrend.

The underlying trend of Nifty remains positive. The next upside levels to be watched around 26000 and 26350 in the near term. Immediate support is placed at 25700.

Ajit Mishra – SVP, Research, Religare Broking

Markets traded with strength on Monday and remained firmly in positive territory, supported by encouraging global cues and optimism around an interim India–US trade framework. The benchmark indices opened higher, with the Nifty moving above the 25,800 level in early trade and holding gains through the session to finally close at 25,867.30. Buying interest was widespread, with realty, metal and pharma among the top gainers, while midcap and smallcap segments also posted notable advances, signalling an improvement in risk appetite after the recent bout of weakness.

Investor sentiment was lifted by reports that India and the United States have moved closer to a trade agreement that includes tariff reductions and deeper economic cooperation. This development helped remove a key overhang that had been weighing on markets and triggered fresh buying across sectors. Mixed global cues, along with supportive moves in Asian markets, further reinforced the positive undertone.

The latest move in the index suggests a likely retest of the 26,000 level on the Nifty soon, and a decisive breakout above this zone could open the path toward a new record high. We therefore reiterate a buy-on-dips approach, with emphasis on stock selection based on sectoral strength. Most key sectors, except IT, are participating in the up move, though on a rotational basis, so positions should be aligned accordingly with disciplined risk management.

Disclaimer: The views and investment tips expressed by experts on Moneycontrol.com are their own and not those of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.

India-US Trade Deal, SBI Earnings Power Solid Monday Rally On D-Street| Closing Bell Live

From long-term investment viewpoint, believe IT space fully priced for next few years of growth outlook, Q4 earnings outlook remains strong, Focus on energy, cleantech, data centres, defence and industrials post trade deal

* From long-term investment viewpoint, believe IT space fully priced for next few years of growth outlook
* Q4 earnings outlook remains strong
* Focus on energy, cleantech, data centres, defence and industrials post trade deal

shorts/business/daily-voice-strong-q4-outlook-energy-cleantech-data-centres-defence-industrials-in-focus-ashwini-shami

* From long-term investment viewpoint, believe IT space fully priced for next few years of growth outlook
* Q4 earnings outlook remains strong
* Focus on energy, cleantech, data centres, defence and industrials post trade deal

Ashwini Shami, President and Chief Portfolio Manager at OmniScience Capital, believes the outlook for Q4 earnings remains strong.

He expects the increasing impact of fiscal and monetary policy interventions, along with positive sentiment following recent trade deals with the US and the EU, the world’s two largest economic blocs, to support earnings growth.

According to Shami, the India-US trade agreement should benefit sectors such as textiles, leather, automobiles, and industrial components. He added that his key focus remains on energy and cleantech, data centres, defence, and industrials, where potential joint ventures and technology transfers could provide long-term competitive advantages and strong growth visibility.

Do you think the market is fully convinced by the US-India trade deal, given that India has reached an interim trade agreement with the US and the US has passed an executive order removing the additional 25 percent tariff?

The India-US trade deal has removed the negative overhang that was potentially impacting the flows and rerating of certain mispriced segments of the market. There have been six to seven trade deals that India has signed with various economic blocs in the past year.

Effectively, the US trade war has resulted in a number of key trade deals for India, as multiple regional economic blocs, all impacted by the US trade war to varying degrees, were forced to find new trading partners to offset the impact of US trade tariffs. This has ushered in a new era for the Indian economy to emerge as a key global player for manufactured goods, and we will continue to see its impact on markets.

After reviewing the interim trade agreement, which sectors do you see as the key beneficiaries of the deal? Are you a buyer in those sectors?

The bilateral trade agreement has essentially reduced the tariff on Indian exports vis-à-vis other competing Asian countries and that should help sectors such as textiles, leather, auto, and industrial components, etc. Our focus is on sectors such as energy and cleantech, data centres, defence and industrials, where some potential JVs and transfer of technology are likely to provide long-term competitive advantage and growth visibility.

Is the worst over for the IT space? Do you see tactical trading opportunities emerging in the IT sector?

We do not believe in taking tactical trading calls as we do not see the risk-reward as beneficial for our pool of scientific investors. From a long-term investment viewpoint, we believe that the IT space is fully priced for the next few years of growth outlook.

Structurally, we are positive about the IT space and would be closely tracking this as the AI stack evolves from infrastructure, model and framework levels to more of MLOps/AIOps and deployment at scale. IT services are playing a key role in AI pilots to scalable transformation involving enterprise-wide integration.

How do you interpret the December-quarter earnings season, which is set to conclude this week? What is your outlook for Q4?

Third quarter earnings showed sector-level divergence, with overall good revenue growth for sectors such as financial services, industrials, healthcare, auto and business services.

For many companies, one-off costs impacted the earnings growth in Q3. However, the outlook for Q4 remains stronger as we expect to see an increasing impact of fiscal and monetary policy interventions and the positive sentiments after the trade deals with the US and the EU, the two largest economic blocs in the world.

Are you confident that the BFSI and consumer segments will lead earnings growth going forward?

While we are positive on the earnings growth potential of the banking, consumer finance, and infrastructure NBFCs segments, we also see that a number of these players are currently available at a significant discount to intrinsic value, making this an attractive investment opportunity. There is a twin opportunity in the form of deleveraged corporate borrowers as well as unutilized lending capacity, as indicated by high capital-to-asset ratios.

Would you advise maintaining exposure to the hospital sector in portfolios, considering the expected growth outlook?

The expected return from any security consists of three components: the free cash flow yield, the growth of free cash flows, and the quantum of re-rating or de-rating during the holding period. We see that most of the stocks in the hospital sector are providing less than 1%-2% yield and forward price to earnings ratios above 60, along with a low-to-mid double-digit growth in the core business. This implies that the expected growth outlook is more than fully priced in and the investors should expect only the discount rate, i.e., the long-term return from the market, while taking the full risk of a de-rating in case of a lower-than-expected growth.

Disclaimer: The views and investment tips expressed by experts on Moneycontrol are their own and not those of the website or its management. Moneycontrol advises users to check with certified experts before taking any investment decisions.

Daily Voice | Strong Q4 outlook; energy, cleantech, data centres, defence, industrials in focus: Ashwini Shami

Ashwini Shami, President and Chief Portfolio Manager at OmniScience Capital, believes the outlook for Q4 earnings remains strong.

He expects the increasing impact of fiscal and monetary policy interventions, along with positive sentiment following recent trade deals with the US and the EU, the world’s two largest economic blocs, to support earnings growth.

According to Shami, the India-US trade agreement should benefit sectors such as textiles, leather, automobiles, and industrial components. He added that his key focus remains on energy and cleantech, data centres, defence, and industrials, where potential joint ventures and technology transfers could provide long-term competitive advantages and strong growth visibility.

Do you think the market is fully convinced by the US-India trade deal, given that India has reached an interim trade agreement with the US and the US has passed an executive order removing the additional 25 percent tariff?

The India-US trade deal has removed the negative overhang that was potentially impacting the flows and rerating of certain mispriced segments of the market. There have been six to seven trade deals that India has signed with various economic blocs in the past year.

Effectively, the US trade war has resulted in a number of key trade deals for India, as multiple regional economic blocs, all impacted by the US trade war to varying degrees, were forced to find new trading partners to offset the impact of US trade tariffs. This has ushered in a new era for the Indian economy to emerge as a key global player for manufactured goods, and we will continue to see its impact on markets.

After reviewing the interim trade agreement, which sectors do you see as the key beneficiaries of the deal? Are you a buyer in those sectors?

The bilateral trade agreement has essentially reduced the tariff on Indian exports vis-à-vis other competing Asian countries and that should help sectors such as textiles, leather, auto, and industrial components, etc. Our focus is on sectors such as energy and cleantech, data centres, defence and industrials, where some potential JVs and transfer of technology are likely to provide long-term competitive advantage and growth visibility.

Is the worst over for the IT space? Do you see tactical trading opportunities emerging in the IT sector?

We do not believe in taking tactical trading calls as we do not see the risk-reward as beneficial for our pool of scientific investors. From a long-term investment viewpoint, we believe that the IT space is fully priced for the next few years of growth outlook.

Structurally, we are positive about the IT space and would be closely tracking this as the AI stack evolves from infrastructure, model and framework levels to more of MLOps/AIOps and deployment at scale. IT services are playing a key role in AI pilots to scalable transformation involving enterprise-wide integration.

How do you interpret the December-quarter earnings season, which is set to conclude this week? What is your outlook for Q4?

Third quarter earnings showed sector-level divergence, with overall good revenue growth for sectors such as financial services, industrials, healthcare, auto and business services.

For many companies, one-off costs impacted the earnings growth in Q3. However, the outlook for Q4 remains stronger as we expect to see an increasing impact of fiscal and monetary policy interventions and the positive sentiments after the trade deals with the US and the EU, the two largest economic blocs in the world.

Are you confident that the BFSI and consumer segments will lead earnings growth going forward?

While we are positive on the earnings growth potential of the banking, consumer finance, and infrastructure NBFCs segments, we also see that a number of these players are currently available at a significant discount to intrinsic value, making this an attractive investment opportunity. There is a twin opportunity in the form of deleveraged corporate borrowers as well as unutilized lending capacity, as indicated by high capital-to-asset ratios.

Would you advise maintaining exposure to the hospital sector in portfolios, considering the expected growth outlook?

The expected return from any security consists of three components: the free cash flow yield, the growth of free cash flows, and the quantum of re-rating or de-rating during the holding period. We see that most of the stocks in the hospital sector are providing less than 1%-2% yield and forward price to earnings ratios above 60, along with a low-to-mid double-digit growth in the core business. This implies that the expected growth outlook is more than fully priced in and the investors should expect only the discount rate, i.e., the long-term return from the market, while taking the full risk of a de-rating in case of a lower-than-expected growth.

Disclaimer: The views and investment tips expressed by experts on Moneycontrol are their own and not those of the website or its management. Moneycontrol advises users to check with certified experts before taking any investment decisions.

Sensex and Nifty rose Monday on India-US trade optimism and strong Asia cues., SBI, Adani, Shriram Finance rose; Max Healthcare, ITC fell., Foreign investors became net buyers; lower crude prices boosted market sentiment.

* Sensex and Nifty rose Monday on India-US trade optimism and strong Asia cues.
* SBI, Adani, Shriram Finance rose; Max Healthcare, ITC fell.
* Foreign investors became net buyers; lower crude prices boosted market sentiment.

Sensex and Nifty opened higher, driven by optimism over an India-US interim trade deal, strong SBI results, FII buying, positive Asian market trends, and lower crude oil prices. SBI, Adani Enterprises, and Shriram Finance led gains; Max Healthcare, ITC fell.

shorts/business/sensex-up-400-pts-nifty-above-25-800-india-us-trade-deal-among-key-factors-behind-market-rise

* Sensex and Nifty rose Monday on India-US trade optimism and strong Asia cues.
* SBI, Adani, Shriram Finance rose; Max Healthcare, ITC fell.
* Foreign investors became net buyers; lower crude prices boosted market sentiment.

The benchmark equity indices Sensex and Nifty started the week on a higher note on Monday, supported by optimism over an interim trade framework between India and the United States and firm trends in Asian markets.

The Sensex settled 485.35 points or 0.58 percent higher at 84,065.75, while the broader NSE rose to 25,867.30, up 173.60 points or 0.68 percent.

Fifteen of the 16 major sectors rose. The broader small-caps and mid-caps gained more than 1 percent.

<a href="https://www.moneycontrol.com/india/stockpricequote/banks-public-sector/statebankindia/SBI">State Bank of India</a>, Adani Enterprises and Shriram Finance were the top gainers in the Nifty50 pack, rising up to 7 percent, while Max Healthcare Institute and <a href="https://www.moneycontrol.com/india/stockpricequote/diversified/itc/ITC">ITC</a> were among the key laggards, declining up to 1 percent. Market breadth was positive as bout 2736 shares advanced, 941 shares declined and 153 shares unchanged.
<h3>Key factors driving market rally</h3>
1) India-US trade framework: Markets reacted positively after India and the US announced an interim trade framework on Friday aimed at lowering tariffs, strengthening energy ties and deepening economic cooperation.

Devarsh Vakil, Head of Prime Research at HDFC Securities, said India and the US have reached an interim trade agreement ending a ten-month tariff dispute, with Washington reducing tariffs on Indian goods. He added that India protected sensitive agricultural sectors while committing to purchase goods from the US over the next five years, with focus on energy, aircraft and defence technology.

2) SBI results: SBI shares jumped nearly 7 percent to a fresh record high after the public lender’s <a href="https://www.moneycontrol.com/news/business/markets/sbi-shares-jump-7-to-record-high-after-lender-posts-highest-ever-quarterly-profit-in-q3-brokerages-raise-target-prices-13818276.html" target="_blank">Q3 results surpassed expectations</a>. Several brokerages raised their target prices for the stock. The shares of the company hit a fresh 52-week high of Rs 1,137 per share on Monday.
<h3><a href="https://www.moneycontrol.com/news/business/markets/stock-market-live-updates-gift-nifty-indicates-a-gap-up-start-us-asian-markets-gain-liveblog-13817633.html" target="_blank">Stock Market LIVE Updates</a></h3>
3) FII buying: Foreign institutional investors were net buyers in the equity market, purchasing shares worth Rs 1,950.77 crore on Friday.

Dr VK Vijayakumar, Chief Investment Strategist at Geojit Investments, said there has been a change in foreign fund flows in February so far, with FIIs turning net buyers. He said currency movement has played a role in improving sentiment and could support further inflows.

4) Positive global cues: Asian markets traded higher, with Japan’s Nikkei 225, South Korea’s Kospi, Shanghai’s SSE Composite and Hong Kong’s Hang Seng index in the green. US markets ended more than 2 percent higher on Friday.

Vakil said firm global cues, particularly from Japan, have improved risk appetite, which has also supported Indian equities.

5) Crude oil prices: Brent crude, the global oil benchmark, fell 0.94 percent to USD 67.41 per barrel. Lower crude prices tend to support Indian equities by easing inflationary pressures and reducing the country’s import bill.
<h3>Technical outlook</h3>
Anand James, Chief Market Strategist at Geojit Investments, said the recent movement suggests some loss of upside momentum, though sustained buying interest could still support a rebound. He added that the market’s ability to hold above key support levels will be crucial in the near term.

Disclaimer: The views and investment tips expressed by investment experts on Moneycontrol.com are their own and not those of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.

A financial journalist with over 10 years of experience, specialising in tracking stock market movements and fundamental developments that impact investors and the broader economy. A keen observer of global financial markets, I regularly engage with leading market voices to write stories. At Moneycontrol, I focus on decoding market trends, policy shifts and economic changes, driven by a constant passion to learn, analyse, and share knowledge with my readers.

Sensex settles nearly 500 pts higher, Nifty above 25,850: India-US trade deal among key factors behind market rise

Sensex news: Sensex settles nearly 500 pts higher, Nifty above 25,850: India-US trade deal among key factors behind market rise

The benchmark equity indices Sensex and Nifty started the week on a higher note on Monday, supported by optimism over an interim trade framework between India and the United States and firm trends in Asian markets.

The Sensex settled 485.35 points or 0.58 percent higher at 84,065.75, while the broader NSE rose to 25,867.30, up 173.60 points or 0.68 percent.

Fifteen of the 16 major sectors rose. The broader small-caps and mid-caps gained more than 1 percent.

State Bank of India, Adani Enterprises and Shriram Finance were the top gainers in the Nifty50 pack, rising up to 7 percent, while Max Healthcare Institute and ITC were among the key laggards, declining up to 1 percent. Market breadth was positive as bout 2736 shares advanced, 941 shares declined and 153 shares unchanged.
Key factors driving market rally
1) India-US trade framework: Markets reacted positively after India and the US announced an interim trade framework on Friday aimed at lowering tariffs, strengthening energy ties and deepening economic cooperation.

Devarsh Vakil, Head of Prime Research at HDFC Securities, said India and the US have reached an interim trade agreement ending a ten-month tariff dispute, with Washington reducing tariffs on Indian goods. He added that India protected sensitive agricultural sectors while committing to purchase goods from the US over the next five years, with focus on energy, aircraft and defence technology.

2) SBI results: SBI shares jumped nearly 7 percent to a fresh record high after the public lender’s Q3 results surpassed expectations. Several brokerages raised their target prices for the stock. The shares of the company hit a fresh 52-week high of Rs 1,137 per share on Monday.
Stock Market LIVE Updates
3) FII buying: Foreign institutional investors were net buyers in the equity market, purchasing shares worth Rs 1,950.77 crore on Friday.

Dr VK Vijayakumar, Chief Investment Strategist at Geojit Investments, said there has been a change in foreign fund flows in February so far, with FIIs turning net buyers. He said currency movement has played a role in improving sentiment and could support further inflows.

4) Positive global cues: Asian markets traded higher, with Japan’s Nikkei 225, South Korea’s Kospi, Shanghai’s SSE Composite and Hong Kong’s Hang Seng index in the green. US markets ended more than 2 percent higher on Friday.

Vakil said firm global cues, particularly from Japan, have improved risk appetite, which has also supported Indian equities.

5) Crude oil prices: Brent crude, the global oil benchmark, fell 0.94 percent to USD 67.41 per barrel. Lower crude prices tend to support Indian equities by easing inflationary pressures and reducing the country’s import bill.
Technical outlook
Anand James, Chief Market Strategist at Geojit Investments, said the recent movement suggests some loss of upside momentum, though sustained buying interest could still support a rebound. He added that the market’s ability to hold above key support levels will be crucial in the near term.

Disclaimer: The views and investment tips expressed by investment experts on Moneycontrol.com are their own and not those of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.

8 out of 15 years NIFTY COMMODITIES has given negative returns in February.

Type	R1	R2	R3	PP	S1	S2	S3
Classic	9,930.83	9,967.02	10,031.63	9,866.22	9,830.03	9,765.42	9,729.23
Fibonacci	9,904.72	9,928.51	9,967.02	9,866.22	9,827.71	9,803.92	9,765.42
Camarilla	9,903.89	9,913.13	9,922.37	9,866.22	9,885.41	9,876.17	9,866.93

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