Markets traded volatile and settled with a cut of over half a percent on the F&O expiry day. Initially, the benchmark opened with an uptick, led by supportive global cues however the selling pressure in the latter half trimmed all the gains and pushed the index in the red.
We’re not surprised by the recent profit-taking phase and expect further correction ahead. Markets will first react to the index heavyweight, Reliance results in the early trade on Friday i.e. July 31 and that may set the tone for the rest of the session. Traders should keep a close eye on 11,050 in Nifty as its breakdown would trigger a fresh decline towards 10,950 levels else consolidation will continue. Traders should prefer hedged bets and maintain positions on both sides.
July 30, 2020 / 04:20 PM IST
Deepak Jasani, Head Retail Research, HDFC Securities:
Selling for the second consecutive day led the Indian equity markets lower on the last day of the July F&O series on July 30. The NSE Nifty 50 index ended 100.7 points or 0.9% lower at 11,102.
Indian markets have broken the recent pattern of one day up – one day down by falling for two consecutive sessions. Whether this will lead to a change in short term trend to down will be interesting to watch.
July 30, 2020 / 04:18 PM IST
Vinod Nair, Head of Research at Geojit Financial Services:
Global markets faded as a status quo in policy by the US Fed Reserve failed to offset tepid business outlook and resurgence in virus cases around the world. Indian markets also closed in the negative, in spite of a positive opening. Unlock 3.0 failed to enthuse, as earnings results took priority and markets turned volatile in the expiry session.
Financials led the losses for the benchmark index. Investors will be looking at commentary emerging from today’s meeting between the PM and key economic regulators. Stock specific action expected to continue.
July 30, 2020 / 04:16 PM IST
Rohit Singre, Senior Technical Analyst at LKP Securities:
Index expired July series at 11102 with good gains of nearly 8 percent on expiry basis and formed a bullish candle for second consecutive expiry. Going forward 11k will act as a make or break level and any decisive break below 11k mark can lead into strong profit booking in index which can drag index toward 10900-10800 zone and on the other hand Nifty has formed good resistance near 11200-11300 zone with fresh upsides only above 11300 zone.
Nifty Bank give July expiry at 21647 with gains of nearly one percent on expiry basis, support for Nifty Bank is coming near 21400-21000 zone and resistance is coming near 21900-22150 zone.
July 30, 2020 / 04:10 PM IST
Manish Hathiramani, proprietary index trader and technical analyst, Deen Dayal Investments:
We were unsuccessful in closing above the 11300 level. Instead, we dropped and tested the 11100 support level. 11000-11100 is going to be a crucial zone for the markets. A bounce from these levels should take the markets back to 11300-11400 but if we break 11000 on closing, we could see a further slide which could take the markets to 10800.
July 30, 2020 / 03:35 PM IST
Market Close: The selling continues on the second day on the Dalal Street with Nifty ending July F&O series above 11,100 level dragged by the metal, banks, energy and FMCG stocks.
At close, the Sensex was down 335.06 points or 0.88% at 37736.07, and the Nifty was down 100.70 points or 0.90% at 11102.20. About 1033 shares have advanced, 1570 shares declined, and 167 shares are unchanged.
BPCL, IndusInd Bank, IOC, HDFC and Axis Bank were among major losers on the Nifty, while gainers were Dr Reddys Labs, Sun Pharma, Wipro, Maruti Suzuki and Infosys.
Except pharma and IT other sectoral indices ended in the red, while BSE Midcap and Smallcap indices end marginally lower.
July 30, 2020 / 03:27 PM IST
Sugandha Sachdeva VP-Metals, Energy & Currency Research, Religare Broking:
The Fed’s dovish policy stance and an improved risk appetite is causing the greenback to lose value, which is supporting the rupee for the time being. However, RBI has been continuously mopping up dollar inflows, and historical trends indicate that August has been a seasonally weak month for the rupee, that may continue this year as well.
Market is expecting a weak US GDP data, and even if there a little bit of respite there, dollar index may rebound and that can put some pressure on the rupee. 74.50 remains a very strong hurdle for rupee bulls, while 75.50 is a strong support. Any breakout from these levels could indicate a directional trend for the rupee.
July 30, 2020 / 03:16 PM IST
Laurus Labs Q1 YoY net profit rose to Rs 171.8 crore versus Rs 15.1 crore and revenue was up 77% at Rs 974.3 crore against Rs 550.6 crore.
Earnings before interest, tax, depreciation and amortization (EBITDA) was at Rs 278.3 crore versus Rs 83.2 crore and margin was at 28.5% versus 15.1%, reported CNBC-TV18.
July 30, 2020 / 03:03 PM IST
BSE Oil & Gas space shed over 2 percent dragged by the BPCL, IOC, HPCL:
July 30, 2020 / 02:41 PM IST
The company's net profit was down 5.9% at Rs 341.8 crore versus Rs 363.1 crore and revenue was down 12.9% at Rs 1,980 crore against Rs 2,273.3 crore, reported CNBC-TV18.