This is how analysts read the market pulse:
Commenting on the day’s action, Rupak De, Senior Technical Analyst at LKP Securities said Nifty opened with a gap-up and witnessed decent profit taking, which formed a big red candle on the daily chart. Still, the index managed to close above the 38.2% Fibonacci retracement level, around 25,500. “This has led to a rapid shift in sentiment from selling on rise to buying on dips within a single session. Going forward, immediate support can be seen in the 25,470-25,500 zone. On the higher side, resistance is at 26,000-26,200,” De said.
American markets
The US stock market is in mixed trading on Tuesday as gold and silver recover from their latest sell-off.
Several influential Big Tech stocks weighed on the market, including declines of 2.5% for Nvidia and 2.2% for Microsoft.
They fell despite a 6.6% rise for Palantir Technologies, which reported bigger profit and revenue for the latest quarter than analysts expected. The forecast for 61% revenue growth this year also exceeded analyst expectations, as CEO Alex Karp crowed that his company is unique and that “these numbers prove it.”
European markets
European markets were in the red at around 2.30pm GMT (8.15pm India), with Britain’s FTSE 100 trading at cuts (1.01%), while the Stoxx 600, France’s CAC 40, Germany’s DAX and Spain’s IBEX were down 0.58% at this time.
Technical view
Nifty has reclaimed its long-term 200-DMA at 25,250 and the 100-DMA at 25,630, negating the bearish setup and managing to hold above 25,600, said Nilesh Jain, Head – Technical and Derivatives Research Analyst (Equity Research) at Centrum Broking. On the momentum front, the MACD has generated a fresh buy crossover, while the RSI has recovered from the oversold zone and moved above 50, indicating an improvement in strength, he added.
“India VIX cooled sharply by 6% to close at near 13. Any further decline in volatility would provide additional comfort to the bulls. Overall, the structure for the Nifty looks positive for levels of 26,100, and a buy-on-dips approach remains advisable as long as Nifty remains above 25,250,” Jain opined.
Most active stocks in terms of turnover
PB Fintech (Policybazaar, Rs 545 crore), Hindustan Copper (Rs 392 crore), Radico Khaitan (Rs 159 crore), Tata Motors (TMCV, Rs 150 crore), Waaree Energies (Rs 135 crore), Jio Financial Services (Rs 129 crore) and Reliance Industries (Rs 127 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
Vodafone Idea (shares traded: 7.21 lakh), Ola Electric (shares traded: 86.49 lakh), Suzlon Energy (shares traded: 81.91 lakh), Trident (shares traded: 72.77 lakh), RPower (shares traded: 72.38 lakh), Hindustan Copper (shares traded: 62.99 lakh) and YES Bank (shares traded: 72.38 lakh) shares: 60.97 lakh crore) were among the most actively traded stocks on BSE by volume.
Stocks that show buying interest
Reliance Industries (RIL), HDFC Bank, Adani Enterprises, Aarti Industries, Eternal, Jio Financial, Bajaj Finance and InterGlobe Aviation were among the stocks that witnessed strong buying interest from market participants.
Also read: Chemical stocks rise up to 19% after US-India trade deal. Why brokers see Aarti, UPL and 2 more stocks as key beneficiaries
52 Week High
More than 121 stocks hit their 52-week highs today, while 117 stocks fell to their 52-week lows. Aayush Art And Bullion, Aether Industries, Apex Frozen Foods, APL Apollo Tubes, Ashok Leyland, AXIS Bank, Bajaj Auto, Bajaj Consumer Care and HCL Technologies were among those that hit 52-week highs.
Stocks see selling pressure
Among the large cap names were Tech Mahindra, Bharat Electronics (BEL) and SBI Life Insurance Corporation. Other stocks that witnessed significant selling pressure were PB Fintech (Policybazaa), Aegis Vopak Terminals, Varun Beverages Limited (VBL), Rainbow Childrens Med, Chennai Petroleum Corporation, Ola Electric, Medanta and Aster DM Healthcare.
Sentiment meter favors bulls
Actions in heavyweights such as HDFC Bank, Bajaj Finance and Bharti Airtel dragged the markets the most and led to a negative closing price. Breadth also remained negative in broader markets. Of the 4,422 stocks traded on the BSE on Tuesday, February 3, 3,279 stocks witnessed progress, 1,015 saw a decline while 128 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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