Domestic benchmark indices fluctuated between gains and losses on Friday but could not stay put in the green for long. With today’s fall, Sensex and Nifty have slipped for the third consecutive day. S&P BSE Sensex ended 135 points lower at 39,614 while Nifty 50 closed at 11,642 mark. This week, both the benchmark indices, registered a fall of over 2% each. Despite the weaker market sentiment, midcap indices moved higher and ended in the green. Auto stocks were some of the worst performers along with financials. Volatility was up 3% to close just shy of the 25 levels.
Sanjeev Zarbade, VP PCG Research, Kotak Securities
“The BSE-30 Index declined 2.8% in the current week. Market mood was wary of a steady increase in daily Covid-19 cases globally despite falling cases in India and uncertainty around the upcoming US elections. FPIs bought equities worth US$695 mn over the past five trading sessions while DIIs sold US$740 mn worth of equities in the same period. Even though second quarter corporate earnings numbers have been encouraging so far, markets are showing signs of weakness. Our advice would be to take advantage of a potential market correction to build a portfolio of good quality stocks.”
S Ranganathan, Head of Research at LKP Securities
“Markets were volatile today as reflected in the VIX which has risen close to 300bps over the last few sessions. Autos witnessed profit booking today although a late comeback by RIL ahead of its earnings today evening helped indices gain some lost ground in afternoon trade.”
Vinod Nair, Head of Research at Geojit Financial Services
“Indian market is moving in tandem with global trends which is displaying weakness as a new round of coronavirus lockdown is weighing on the future growth & outlook. Indian rally was supported by good Q2 results and economic data. The sustenance of economic data will be difficult in the next quarter due to restrictions affecting world growth, global uncertainties over the US presidential election and timing of stimulus.”
Aamar Deo Singh, Head Advisory, Angel Broking Ltd
Markets witnessed a volatile session today, ending the day with minor losses for the benchmark index Nifty 50 at 116423, down 28 points. During the second half of the session, there was a recovery from the lows of the day, with advances outnumbering declines marginally. Nifty continues to witness selling pressure on the back of weak global cues, with support seen around 11450-11500 zone whereas resistance is seen around 11750-11800 levels.
Manish Hathiramani, Proprietary Index Trader and Technical Analyst, Deen Dayal Investments
“The markets broke yesterday’s low of 11600 and this makes the Nifty bearish in the short term. Ideally it should fall further and touch 11400-11450 levels. The upside is capped at 11900-11950 so traders can consider a closing above those levels as a stop loss and initiate short positions for a target of 11400.”