The running of Nifty bulls shall continue….

*Morning Action @ 7 AM – Tuesday, October 15th 2024*

# Gift Nifty powers higher this Tuesday, boosted by strong overnight gains at Wall Street where the Dow Jones, the S&P 500 score fresh record close.

# *The trading theme revolves around rising optimism over corporate profits.*

*7:00 AM GLOBAL UPDATE:*
# GIFT Nifty 🇮🇳: (+165, 25238)
# Dow Futures: (+75, 43141)
# Nasdaq 100 Futures (-9, 20430)

# Nikkei (+417, 40019)
# Hang Seng (-46, 21046)

# Dow Jones (+201, 43065)
# Nasdaq (+160, 18503)
# Bovespa (+1013, 131005).

MARKET TRENDS:
# Global: Positive
# FII: Negative (-3751.59 Cr)
# DII: Positive (+2278.09 Cr)
# Sentiment: Bullish
# Market Breadth: Positive
# Technicals: Oversold conditions
# F&O: 24500 – 26000 zone.

# INDIA VIX 12.99 (-1.74%)
# Nifty PCR (31st Oct) 1.01
# Bank Nifty PCR (30th Oct) 0.91

# Nifty Outlook: Positive start. Positive session is likely.

# WHAT TECHNICALS TELLS US ON NIFTY & BANK NIFTY:

Nifty Technically:
Nifty (CMP: 25128)
SUPPORT: 24920/24694
RESISTANCE: 25485/25751
RANGE: 25050-25350
BIAS: Positive
21 DMA: 25466
50 DMA: 25054
200 DMA: 23245

Bank Nifty Technically:
BANK NIFTY (CMP 51817):
SUPPORT: 51220/50771
RESISTANCE: 52851/54467
RANGE: 51500-52800
BIAS: Positive
21 DMA: 52499
50 DMA: 51533
200 DMA: 49250

*WHAT EXACTLY HAPPENED AT WALL STREET IN OVERNIGHT TRADE:*

# Wall Street ends Monday’s session with strong gains, with the Dow Jones Industrial Average gaining 201.36 points or 0.47% to end at 43,065.22, a record close.

# The S&P 500 rose 44.82 points or 0.77% to finish at 5,859.85. It is the index’s 46th record close this year.

# COMEX Gold inches higher towards $2648 per ounce.

# Overnight, WTI crude oil futures have tumbled by over 2.5% to $73.5 per barrel driven by concerns over China’s weakening economy.

 

NEED TO KNOW:

# Today, all eyes will be on Hyundai Motor which is all set to launch India’s largest IPO ever, amounting to Rs. 28780 crores!

# The Hyundai IPO will be India’s largest IPO ever, amounting to Rs. 28780 crores! Before this, we had seen LIC’s IPO worth over Rs 21,008 crore in 2022 followed by One 97 Communications’ (Paytm) Rs 18,300-crore public issue in 2021 and Coal India’s Rs 15,199 crore offer in 2010.

# Also, note that this is the first initial share sale of any automaker in India over two decades, following Japanese carmaker Maruti Suzuki’s listing in 2003.

# Please note, Hyundai Motor has 2nd largest market share in passenger vehicles segment after Maruti Suzuki in India and most importantly, Hyundai Motor ranks fourth in global automobile market share.

# The biggest Positives which go in favor of Hyundai Motor IPO:

1) Hyundai is a strong brand.
2) Blockbuster models (i20, Creta, and Venue).
3) Advanced technology.
4) High export potential.

# Now, let’s focus on Nifty and its stocks:

First, the Good News for Perma-bulls camp:

1) The benchmark Nifty’s rebound still has fuel.
2) Nifty sticking to rebound gains clearly suggests ‘lack of bearish conviction’.

The positive catalysts:

1) Overnight at Wall Street, the Dow Jones and the S&P 500 rose to new record highs.

2) The first batch of exciting earnings has come from HCL TECH. HCLTech Q2 results: Net profit rises 10.5% to Rs 4,235 cr, revenue up 8.2%. Revenue for the quarter at Rs 28,862 crore, up 8.2% YoY and grew 2.9% sequentially.

3) Overnight, WTI crude oil futures have tumbled by over 2.5% to $73.5 per barrel driven by concerns over China’s weakening economy.

# Q2 Corporate India results to trickle in:

Tuesday, October 15th: HDFC AMC, HDFC LIFE, PVR INOX, RALLIS.

# Now, here is the preferred trade on Nifty and Bank Nifty:

Nifty (25128): Buy at CMP. Stop at 24773. Zone. Targets 25301/25485. Aggressive targets at 25751-26000 zone.

Bank Nifty (51817): Buy at CMP. Stop at 50601. Targets 52300/52851. Aggressive targets at 54000-54467 zone.

# Our chart of the day is bullish on EXIDE, NALCO and OFSS with an interweek perspective.

# The 1 Stock to Buy Right Now: Buy NALCO (CMP 226): Establishing long positions at CMP and on any corrective declines between 203-211 zone should be the preferred trading strategy, targeting 237/250 zone and then aggressive targets seen at 265 zone. Stop below 171. Holding Period: 9-12 Months.

Premium Buy Premium Services

 

Trader Premium Services

 

*Disclaimer:* This does not construe to be an investment advice. Stock market investments are subject to market risks. All information is a point of view, and is for educational and informational use only. The author accepts no liability for any interpretation of articles or comments on this platform being used for actual investments. Registration granted by SEBI and certification from NISM in no way guarantee performance of the intermediary or provide any assurance of returns to investors.