Nifty witnesses a dismal Friday’s trading session.

*Review & Preview @4PM —— Friday, January 10th 2025*

NIFTY (-95, 23432)
Sensex (-241, 77379)
Bank Nifty (-769, 48734)

# Nifty witnesses a dismal Friday’s trading session as stocks just tumbled and investors scrambled for safety.

# Bulls must be sincerely looking for one big positive catalyst which can really lift sentiments at Dalal Street.

# Interestingly, TCS jumping 6% in today’s trade also could not come bulls’ rescue. TCS was in limelight on signs of demand revival, strong deal wins in Q3.

TCS not just reported its highest third-quarter order book in five years, but also exhibited confidence to deliver stronger growth in CY25 and FY26.

# Strictly speaking, FIIs selling continues to haunt investors at Dalal Street as in this January month so far, they have sold to the tune of Rs. 19,102.80 crores.

The negative takeaway is that total FIIs selling has crossed over 2-lakhs crore since September 27, the day Nifty hit an all-time-high at 26277.35.

# Blame the pessimism also to the uncertainty with regards to Fed rate plans. The December Fed meeting signaled central bankers’ uncertainty over potential Trump administration policies.

The street is not sure what Trump will do after he takes office as US President on January 20th

Long Story short and the Gyan Mantra: Caution shall continue to the buzzword for Nifty Bulls.

# Buzzing stocks:

1) Vodafone slipped 2.15% despite selling its entire stake in Indus Towers for Rs 2,800 crore, the telecom infrastructure firm said on Friday. Vodafone has sold 7.92 crore or 3 per cent stake in Indus Towers and used Rs 890 crore from the proceeds to clear lenders dues, the company said in a regulatory filing.

2) Chemical stocks like SRF witnessed 3% profit booking. Yesterday, SRF was in limelight after a report highlighted a sharp rise in global refrigerant gas prices. Navin Fluorine too tumbled 5% despite reports of supply constraints for key gases like R32 and R125 which are creating challenges for the HVAC industry.

# Sentimental Overview:

# India VIX ends at 14.85, up 1.40%. At last check, USD/INR was at 85.92.

# The broader markets were mirroring Nifty’s bearish action. The S&P BSE Mid-Cap index tumbled 2% and the S&P BSE Small-Cap index dropped 2.66%.

Meanwhile, the 4-big catalysts:

1) All anxious eyes will be on Friday’s US NFP.

2) After this week’s US Employment report comes next week’s us PPI and CPI inflation reports on Tuesday, January 14th and Wednesday, January 15th.

3) The Federal Open Market Committee’s next policy meeting on January 28-29.

4) Delhi Assembly election voting on Feb 5th, results on Feb 8th

# Technical Overview:

# Technically speaking, Nifty continues to trade way below its 200 DMA and now it’s also below its 200 EMA.

# Technically speaking, the bearish daily technical setup shall exacerbate more pain below 23263 (Low as on November 14th).

Below Nifty 23263, the next inter-month supports are placed at 21281 mark (June 4th Election day low).

Any near-term rebound could be a Dead Cat Bounce!

Please note, ‘Dead Cat Bounce’ is a temporary price recovery following losses, that is followed by more losses.

# Confirmation of strength only on any close above Nifty 24227.

# Outperforming Nifty Sectors:
Nifty IT (+3.38%)

# Underperforming Nifty Sectors:
Nifty MEDIA (-3.62%)
Nifty REALITY (-2.85%)
Nifty PSU BANKS (-2.62%)
Nifty PSE (-2.37%)
Nifty PHARMA (-2.09%)

# Bulls of the day:
TCS (+5.60%)
TECHMAHINDRA (+3.59%)
HCL TECH (+3.22%)
INFY (+2.53%)
WIPRO (+2.51%)

# Bears of the day:
SHRIRAMFIN (-5.30%)
INDUSIND BANK (-4.29%)
ADANI ENTERPRSIES (-3.95%)
NTPC (-3.79%)
BEL (-3.72%)
(Source NSSEINDIA.com)

 

 

 

 

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