Benchmark stock indices on Wednesday settled higher for the second straight session, thanks to buying in the HDFC twins, Larsen & Toubro, ICICI Bank and Bharti Airtel. Most Asian markets settled higher; European stocks and US S&P500 futures were also trading higher, adding to the sentiment.
For the day, the BSE Sensex gained 390.02 points, or 0.64 per cent, to close at 61,045.74. The NSE Nifty settled the day at 18,165.35, up 112.05 points or 0.62 per cent.
“Nifty formed a Bearish candle on the daily scale and has been making lower low for the last four sessions. It needs to negate that to commence the fresh leg of rally. The index has to hold above 18,550 for an up move towards 18,700 and 18881 levels. Supports for the index are placed at 18,442 and 18,350 levels,” said Chandan Taparia of Motilal Oswal Securities.
Vinod Nair, Head of Research at Geojit Financial Services said domestic stocks have been advancing in the last 2-3 trading days after a weak show in the last one and a half months. The trend, he said, is supported by the marginal improvement in FPI flow trend and an upside in domestic investments. Domestic investors are adopting buy on dip strategy, he said.
A total of 3,649 stocks that traded for the day, 1945 settled lower, 1569 settled higher while 135 stocks ended unchanged. Larsen & Toubro, IDFC and Edelweiss Financial Services were among 119 stocks that hit 52-week high during the session. Stocks such as Gland Pharma, Pfizer, Nykaa and IndusInd Towers hit their 52-week low during the day.
Tata Steel led Sensex gainers, rising 2.72 per cent to Rs 122.60. Larsen & Toubro advanced 2.41 per cent to Rs 2,266.45. Wipro, HDFC Bank, HDFC and Bharti Airtel rose up to 1.8 per cent. NTPC, ITC, Axis Bank and Hindustan Unilever rose up to 1 per cent.
Losers included Tata Motors, which declined 1.65 per cent to Rs 408.40. UltraTech Cement, IndusInd Bank, Nestle India, Bajaj Finserv, SBI and Reliance Industries were six other index stocks that settled lower.
Nykaa shares settled 3.19 per cent lower at Rs 129. Nagaraj Shetti of HDFC Securities said the stock has seen a sharp fall from Rs 150-odd levels. He said the stock has support at Rs 110 level. This is the level, Shetti said, could see some pullback and an 8-10 per cent rise is possible. That said, “It’s sell on rise stock,” Shetti warned.
Shares of PTC India climbed 4.95 per cent to Rs 100.65 amid a media report suggesting Greenko, Tata Power, JSW Energy and the Adani Group have been approached to assess their interest in acquiring a strategic stake in PTC India.
Shares of Rail Vikas Nigam (RVNL) climbed 4.97 per cent to Rs 78.15 after the company consortium with Siemens India emerged as lowest bidders for two projects. In a filing to BSE, RVNL said it has emerged as lowest bidder (L1) for supply, erection, testing and commissioning of power supply receiving & distribution system, 750V DC third rail traction electrification and Scada system for Surat Metro Rail Project Phase-I.
Also read: Up 170% from 52-week low, KPI Green Energy shares to turn ex-bonus today
Also read: 70% upside! Adani Enterprises shares can hit Rs 5,999 level in 24 months, says Ventura Securities