Indian benchmark indices ended on a flat note in the rangebound session on July 5. At close, the Sensex was down 33.01 points or 0.05 percent at 65,446.04, and the Nifty was up 9.50 points or 0.05 percent at 19,398.50.
Amid weak Asian markets, the domestic indices opened flat with a negative bias and witnessed rangebound trading throughout the session.
While the BSE Sensex ended on a negative note, the market capitalization of BSE-listed companies crossed the Rs 300 lakh crore mark for the first time ever.
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Sectors and stocks
Top losers on the Nifty included Eicher Motors, HDFC, HDFC Bank, Tata Consumer Products and UPL, while gainers were Bajaj Auto, Divis Laboratories, Hero MotoCorp, Maruti Suzuki and HDFC Life.
On the sectoral front, Auto, FMCG, PSU Bank and Oil & Gas are up 1 percent each, while some selling is seen in the banking names.
The BSE midcap and smallcap indices rose 0.7 percent each.
| Index | Prices | Change | Change% |
|---|---|---|---|
| Sensex | 83,459.15 | -519.34 | -0.62% |
| Nifty 50 | 25,597.65 | -165.70 | -0.64% |
| Nifty Bank | 57,827.05 | -274.40 | -0.47% |
| Biggest Gainer | Prices | Change | Change% |
|---|---|---|---|
| Titan Company | 3,813.50 | 89.00 | +2.39% |
| Biggest Loser | Prices | Change | Change% |
|---|---|---|---|
| Power Grid Corp | 279.05 | -8.95 | -3.11% |
| Best Sector | Prices | Change | Change% |
|---|---|---|---|
| Nifty PSU Bank | 8332.30 | -9.05 | -0.11% |
| Worst Sector | Prices | Change | Change% |
|---|---|---|---|
| Nifty Metal | 10499.00 | -153.80 | -1.44% |
A long build-up was seen in BHEL, Samvardhana Motherson International and Bajaj Auto, while a short build-up was seen in Dixon Technologies, HDFC Bank and HDFC.
Among individual stocks, a volume spike of more than 300 percent was seen in Samvardhana Motherson International, Maruti Suzuki and Dixon Technologies.
Maruti Suzuki, Jindal Steel & Power, Equitas Small Finance Bank, Tech Mahindra, SJVN, Titan, IDFC, ICICI Bank, HCL Technologies, Godrej Consumer Products, RBL Bank, Poonawalla Fincorp, Ujjivan Financial Services, Britannia Industries, Muthoot Finance, Ujjivan Small Finance Bank, touched their 52-week high on the BSE.
Outlook for July 6
Shrikant Chouhan, Head of Research (Retail), Kotak Securities
Investors traded with caution due to absence of any cues from US markets which were shut on Tuesday. Also, the market was already in an overbought zone due to the recent upsurge and hence selective profit-taking was on the cards.
Technically, as long as the index is trading between 19320 -19435 the narrow range activity is likely to continue. For bulls, 19435 would be the immediate breakout level. Above which, the market could rally till 19500-19525. However, below 19320 the selling pressure is likely to accelerate and could slip till 19250-19200. Contra traders can take a long bet near 19200 with a strict 35 points stop loss.
Jatin Gedia, Technical Research Analyst, Sharekhan by BNP Paribas
The Nifty witnessed a day of consolidation. It traded within the range of the previous trading session (19434 – 19300) and closed with marginal gains. On the daily charts it has formed an Inside Bar Pattern indicating consolidation. The hourly Bollinger bands are also contracting, indicating that rangebound price action.
We believe that the Nifty is in the process of consolidation after a sharp runup and this consolidation form a floor for the next leg of upmove. Over the next few trading sessions, we expect the Nifty to consolidate in the range 19500 – 19300 and a dip towards the 19300 should be used as a buying opportunity.
Overall, the uptrend is intact, and we expect levels of 19500 and 19300– 19270 shall act as a crucial support zone while 19450 – 19500 shall act as a crucial resistance zone.
As far as Bank Nifty is concerned, the Index also witnessed subdued price action on the back of weakness in HDFC Bank. Overall, the Bank Nifty is in a consolidation mode after a sharp run up. The hourly momentum indicator has a negative crossover and negative divergence which indicates loss of momentum on the upside. Overall, the range of consolidation is likely to be 45000 - 45600
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.
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