BSE Sensex and Nifty 50 ended flat with a negative bias on Friday in a choppy session. BSE Sensex was down 135 points or 0.3 per cent to end at 51,360, while NSE Nifty 50 settled 0.4 per cent or 67 points down at 15,293. Stocks of index heavyweights such as Tata Consultancy Services (TCS), Titan Company, Larsen & Toubro (L&T), Infosys, Asian Paints, Hindustan Unilever Ltd (HUL), contributed the most to the indices fall. While gains in Reliance Industries, HDFC Bank, ICICI Bank, ITC, among others capped the losses. Broader markets underperformed the equity frontliners. BSE Midcap index fell 0.7 per cent or 145 points to end at 21,295.93, while S&P BSE Smallcap index lost 0.9 per cent or 213 points to settle at 24,134.
Vinod Nair, Head of Research, Geojit Financial Services
Rising inflation and policy tightening by global central banks are forcing the market to discount the possibilities of recession. With central banks’ policy tone pointing towards continued rate hikes of higher magnitude, we can expect FIIs to maintain their selling spree. The domestic market will continue to trade with high volatility in the near term, however, the ongoing corrections are opportunities in disguise on a medium to long-term investments.
Kunal Shah, Senior Technical & Derivative Analyst, LKP Securities
The fight between the bulls and the bears continued in the Bank Nifty index on the last day of the trading week. The index is trading in oversold territory and if holds the support of 32,500 can witness a pull-back rally towards the 33,500 level. The downside support if breached will lead to a fresh round of selling towards 30,000 levels.
Ajit Mishra, VP – Research, Religare Broking
Markets ended lower in a volatile trading session, in continuation of the prevailing trend. After the tepid start, the benchmark continued to hover in a range till the end. Meanwhile, mostly sectoral indices traded with a negative bias and the broader indices too lost nearly a percent each. Markets are largely taking cues from the global markets, in absence of any major domestic event. And, going ahead, the US Fed chairman’s speech and China’s interest rate decision would be important triggers for the markets. On the domestic front, the COVID trend and the progress of the monsoon will also be in focus. We reiterate our negative view on markets and suggest continuing with the “sell on rise” approach.
Deepak Jasani, Head of Retail Research, HDFC Securities
Nifty fell and formed a doji after the recent downmove on June 17, suggesting possibility of an upward reversal. This is after a 5.6% fall over the week, the highest since May 2020. The low of June 17 (15183) will hence be crucial while on rises 15335 and 15659 can act as resistance.
Amol Athawale, Deputy Vice President – Technical Research, Kotak Securities Ltd
Undertone of the market continued to remain bearish with weak global cues dampening investors’ sentiment. Investors are trading with caution after the aggressive rate hike by the US Fed. Moreover, FII selling is showing no signs of easing, which continues to have a bearing on the markets. For the traders now, 15400 would act as a trend decider level and above the same, the Nifty could touch the level of 15600-15700. On the other hand, below 15400, the index could retest the level of 15200. Further down side may also continue which could drag the index till 15000. Meanwhile, after a long time, on weekly charts the Bank Nifty closed below the important support level of 33000. The structure suggests below 33000 it could slip up to 32000-31500.