In a volatile trading session, the benchmark indices swung both ways before ending the session on a flat note. The Nifty index opened with healthy gains but profit-taking at higher levels gradually dragged the indices lower. However, healthy buying in banking stocks in the last hour helped the indices to pare all the intraday losses. Consequently, the Nifty index ended flat at 14,555 levels. The broader markets underperformed as both Midcap and Smallcap ended with losses of 0.7% and 0.5%. A mixed trend was witnessed on sectoral front wherein, Telecom, Auto and Banking were the top gainers whereas Consumer Durables, Healthcare and Realty ended with losses.
Markets will react to the IT majors, Infosys and Wipro, results in early trade of Thursday. With markets at a record high, we feel the prudent approach is to use dips to add quality names. And, we expect stock-specific volatility to remain high on account of earnings announcement so participants should prefer hedged positions instead of outrights. Amid all, vaccine development in India and globally would be actively tracked for cues.
January 13, 2021 / 04:06 PM IST
Rahul Gupta, Head of Research- Currency, Emkay Global Financial Services:
Right now the risk sentiments are stuck in the race of covid-cases and vaccine rollout. In the end vaccine will win but until then the fear of lockdown is hanging over the head. Locally, there are a lot of IPOs lined up this year, so overall downside in USDINR spot will retain. But the magnitude of fall depends on which level is comfortable for RBI. Lately, RBI intervention is seen around 73 zone, so USDINR spot will hover in 72.90-73 zone, with 73.50 being the immediate resistance. A break of 72.90-73 will push prices towards 72.75.
January 13, 2021 / 03:58 PM IST
Rohit Singre, Senior Technical Analyst at LKP Securities:
Index opened a day with gap up but after making a high index witnessed profit booking and closed a day with mild loss at 14556 forming a hanging man sort of candle pattern on the daily chart. The index has formed a good base near 14500-14430 zone any break below said levels can emerge in more profit booking, so longs can use said levels as there trail stop loss level; strong hurdle zone is formed near 14650-14700 zone where one can start booking profits.
January 13, 2021 / 03:51 PM IST
Vinod Nair, Head of Research at Geojit Financial Services:
Following positive global cues and ease in inflation for the month of December, the market opened with good gains. However, profit-booking was triggered due to 1.9% contraction in factory output, premium valuations and concern over upcoming union budget, knocking down all the gains.
January 13, 2021 / 03:47 PM IST
Sahaj Agrawal, Head of Research- Derivatives at Kotak Securities:
Nifty has achieved a long range target of 14640 and is now expected to witness increased volatility going ahead. For traders, 15100 can be expected on the higher side with momentum support seen at 14280. Aggressive buying is advisable below the 14000 mark. Banking and Energy stocks are expected to outperform in the near term.
January 13, 2021 / 03:41 PM IST
Rupee Close: Indian rupee ended higher by 10 paise at 73.15 per dollar, amid buying seen in the domestic equity market. It opened higher by 8 paise at 73.17 per dollar versus Tuesday's close of 73.25.
January 13, 2021 / 03:40 PM IST
Ashis Bisas, Head of Technical Research at CapitalVia Global Research:
Today, the market failed to show resilience to stay above the level of 14600 and we saw profit booking in the market. As of now, the short-term technical condition of the market shows that the expected range of the market is likely to be between 14380 and 14680.
While it is subject to further price action evolution, our research suggests it is prudent to wait for a decisive breakout above 14680 and technical factors to improve before going long in the market. As such we retain our cautious stance and advise the traders to refrain from building a fresh buying position, until we see further improvement and breakout above 14680.
January 13, 2021 / 03:39 PM IST
GTPL Hathway Q3: Company's consolidated net profit rose 37% YoY at Rs 45.2 crore versus Rs 33 crore and revenue was down 5.1% at Rs 647.2 crore versus Rs 682 crore, reported CNBC-TV18.
January 13, 2021 / 03:35 PM IST
Market Close: Benchmark indices ended with little change in the highly volatile day on January 13.
At close, the Sensex was down 24.79 points or 0.05% at 49492.32, and the Nifty was up 1.40 points or 0.01% at 14564.90. About 1200 shares have advanced, 1807 shares declined, and 143 shares are unchanged.
M&M, SBI, Adani Ports, IOC and NTPC were among major gainers on the Nifty, while losers were Bajaj Finance, HDFC, Shree Cements, Bajaj Finserv and UPL.
Among sectors, except pharma other indices ended in the green. BSE Midcap and Smallcap ended lower by 0.6 percent and 0.4 percent respectively.
January 13, 2021 / 03:26 PM IST
Vishal Yadav, CEO, FDI India:
We are optimistic that the upcoming budget will have policies and recommendations that will further strengthen the FDI ecosystem. The steps taken by the government in this direction are commendable, like enhanced FDI participation in more areas and higher participation in existing sectors. Considering the fact that India received the highest ever FDI in 2020, we hope that this year Government will further look on to strengthening the ease of doing business as it is a basic prerequisite for making investments.
The upcoming budget also needs to be favourably allocated to various sectors such as manufacturing, electronics, automobiles, etc in order to boost foreign investments. There is room for demand-side measures in the budget as actions so far have been supply-centric. Therefore, we are hopefully looking forward to better times in 2021.