This is how analysts read the market pulse:
Rupak De, Senior Technical Analyst at LKP Securities attributed the lackluster trading to Nifty’s movement within a narrow range. The index has consistently failed to regain the 21-EMA on the daily chart, showing a general lack of strength, De said. “The RSI is in a bearish crossover, indicating weakening momentum. Sentiment is likely to remain weak in the near term, with a possibility of decline towards 25,300. On the higher side, resistance is at 25,550-25,600,” he added.
American markets
Wall Street stocks fell in early trading Thursday as markets weighed Nvidia’s blowout results against lingering fears over the artificial intelligence boom.
Nvidia shares were choppy, falling about five percent at around 1520 GMT. Profits in the quarter just ended more than doubled to $43 billion.
One concern is that Nvidia “can’t possibly continue to achieve such robust growth against the law of large numbers, burgeoning competition and possibly a scaling back of hyperscaler investment plans,” says Briefing.com analyst Patrick O’Hare.
European markets
The European frontline indices traded positively. France’s CAC 40 was the biggest gainer with 0.7% around 1:15 PM CEST (6:01 PM Indian time). The UK FTSE 100, Germany’s DAX and Stoxx 600 rose between 0.1% and 0.5% around this time. IBEX 35 was flat, although the bias was negative.
Technical view
Nagaraj Shetti, Senior Technical Research Analyst at HDFC Securities, decoded the Nifty charts and said that a small negative candle is being formed on the daily chart with a lower shadow, which means there is not enough strength in the market to hold the highs.
“Regularly lower highs have been formed of late and repeated testing of the crucial lower supports was seen around 25,400 levels. This is not a good sign. The underlying trend of Nifty remains choppy. Crucial lower supports should be watched around 25,400-25,350 levels for any weakness from here. The immediate resistance is placed at 25,600,” Shetti said.
Most active stocks in terms of turnover
Eternal (Rs 2,587 crore), Reliance Industries (RIL, Rs 442), Tejas Networks (SBI, Rs 262 crore), ICICI Bank (Rs 194 crore), Cholamandalam Investment and Finance Company (Rs 165 crore), SpiceJet (Rs 162 crore) and Balkrishna Industries (Rs 241 crore) were among the most active stocks on BSE by value. Higher activity in a counter in terms of value can help identify the counters with the highest trading turnover per day.
Most active stocks by volume
Eternal (shares traded: 10.53 crore), SpiceJet (shares traded: 10.37 crore), Vodafone Idea (shares traded: 3.61 crore), IDFC First Bank (shares traded: 1.15 crore), YES Bank (shares traded: 89.07 lakh), Tejas Networks (shares traded: 73.12 lakh) and Suzlon Energie (shares traded: 70.18 lakh) were among the most actively traded stocks on BSE by volume.
Stocks that show buying interest
Tata Motors Passenger Vehicles, Eicher Motors, XTglobal Infotech, Tejas Networks, Sanofi Consumer, Orient Electric and Aarey Drugs & Pharmaceuticals were among the stocks that witnessed strong buying interest from market participants.
52 Week High
Today, 109 stocks hit their 52-week highs, while 258 stocks fell to their 52-week lows. Among those that hit 52-week highs were Acutaas Chemicals, Ajanta Pharma, Bajaj Auto, Bank of Baroda (BoB), Canara Bank, Federal Bank and Lupin.
Stocks see selling pressure
Among the large cap names were HDFC Bank, Trent and Coal India. Other stocks that witnessed significant selling pressure were Home First Finance, RM Drip and Sprinklers Systems, Emmvee Photovoltaic, Jindal Poly Films, Vikram Solar, VL E-Governance & IT Solutions and Sagility.
Sentiment meter favors bulls
Heavyweights like HDFC Bank, Eternal and Axis Bank dragged the markets, while breadth in the overall markets remained negative. Of the 4,356 stocks traded on the BSE on Thursday, February 26, 2,080 stocks witnessed progress, 2,124 saw a decline while 152 stocks remained unchanged.
(Disclaimer: Recommendations, suggestions, views and opinions expressed by the experts are their own. These do not represent the views of Economic Times)
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