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    Ahead of Market: 12 things that will decide stock action today

    Synopsis

    Rohit Singre of LKP Securities said Nifty50 has formed a good base in the 15,750-15,650 range. "If the index holds on to the range, one can expect a bullish momentum to emerge," he said.

    Ahead of Market: 12 things that will decide stock action on FridayiStock
    Options data suggested a broader trading range between 15,500 and 16,000 levels.
    NEW DELHI: Asian markets were trading mixed on Friday morning as traders weighed risks from China’s crackdown on private industries. US stocks ended higher on Thursday, boosted by robust US earnings and forecasts. At 7:40 hours (IST), Nifty futures on the Singapore Exchange traded 108, signalling a likely gap-down start for Dalal Street.

    Let's have a look at the key factors influencing market mood this morning:

    Wall St gains with upbeat earnings and forecasts
    US stocks ended higher on Thursday, boosted by robust US earnings and forecasts, while data showed the economy recovered to pre-pandemic levels in the second quarter. Tesla Inc jumped 4.7% and was the biggest boost to the S&P 500, followed by Apple. The Dow Jones Industrial Average rose 153.6 points, or 0.44%, to 35,084.53, the S&P 500 gained 18.51 points, or 0.42%, to 4,419.15 and the Nasdaq Composite added 15.68 points, or 0.11%, to 14,778.26.

    Asian markets mixed
    Asian markets were trading mixed on Friday morning as traders weighed risks from China’s crackdown on private industries. Japan and South Korea edged down but Australian shares rose. Hang Seng futures lost 0.6%.

    Tech View: Nifty forms bullish candle
    Nifty50 on Thursday formed a small bullish candle on the daily chart. The candle, following Wednesday's trend reversal Hammer, sending out a positive signal. Analysts are a bit optimistic but believe the 15,820 level may act as the immediate resistance. They see strong support for the index at 15,650, which is around its 50-day simple moving average.

    F&O: Easing VIX adds strength
    India VIX fell 5.44 per cent from 13.69 to 12.94 level. A decline in the volatility after the roller-coaster ride of the last session has again given a grip to the bulls and now VIX has to cool down below 12-level to be able to offer more comfort. Options data suggested a broader trading range between 15,500 and 16,000 levels.

    Stocks showing bullish bias
    Momentum indicator Moving Average Convergence Divergence (MACD) showed bullish trade setup on the counters of National Aluminium, SBI, JK Paper, Gujarat Mineral Development, Schneider Electric, Balrampur Chini, Infosys, NIIT, Power Finance, Vardhman Acrylics, Inox Leisure, MindTree, Bata India, Trent, Entertainment Network, GOCL Corporation, S Chand & Company, KIOCL, Metropolis Healthcare, KEC International, Kamdhenu, Matrimony.com, Jai Balaji Industries, Technocraft Industries, Bajaj Holdings, Rama Steel Tubes and JSW Holdings.

    The MACD is known for signalling trend reversals in traded securities or indices. When the MACD crosses above the signal line, it gives a bullish signal, indicating that the price of the security may see an upward movement and vice versa.

    Stocks signalling weakness ahead
    The MACD showed bearish signs on the counters of JM Financial, Prism Johnson, Geojit Financial, Raymond, HSIL, Crompton Greaves, PNC Infratech, Liberty Shoes, Central Depository, Angel Broking, MCX, Mercator, Indbank Merchant, Manaksia, TCI Express, Steel City Securities, Siyaram Silk, Jindal Poly Films, Tera Software, JBM Auto, Jindal Drilling, IIFL Wealth Management, Foseco India, Gujarat Apollo Industries, Keynote Financial and GKW. A bearish crossover on the MACD on these counters indicated that they have just begun their downward journey.

    Most active stocks in value terms
    Tata Steel (Rs 4,313.25 crore), Hindalco (Rs 2,750.14 crore), SAIL (Rs 2,046.29 crore), Tatva Chintan Pharma Chem (Rs 1,811.52 crore), Tata Motors (Rs 1,689.80 crore), Zomato (Rs 1,624.84 crore), SBI (Rs 1,535.66 crore), JSW Steel (Rs 1,378.21 crore), RIL (Rs 1,306.91 crore) and Maruti Suzuki (Rs 1,065.22 crore) were among the most active stocks on Dalal Street in value terms. Higher activity on a counter in value terms can help identify the counters with highest trading turnovers in the day.

    Most active stocks in volume terms
    Vodafone Idea (Shares traded: 20.84 crore), SAIL (Shares traded: 14.68 crore), Zomato (Shares traded: 11.80 crore), NALCO (Shares traded: 10.96 crore), YES Bank (Shares traded: 7.45 crore), PNB (Shares traded: 6.39 crore), Hindalco (Shares traded: 6.14 crore), JP Power (Shares traded: 6.13 crore), Tata Motors (Shares traded: 5.77 crore) and Suzlon Energy (Shares traded: 5.70 crore) were among the most traded stocks in the session.

    Stocks showing buying interest
    ACC, ICICI Bank, JK Lakshmi Cement, V Mart Retail, Hindalco, Coforge, NALCO and Balrampur Chini witnessed strong buying interest from market participants as they scaled their fresh 52-week highs, signalling bullish sentiment.

    Stocks seeing selling pressure
    Alembic Pharma, Madhav Copper and Suryoday Small Finance Bank witnessed strong selling pressure and hit their 52-week lows, signalling bearish sentiment on these counters.

    Sentiment meter favours bulls
    Overall, the market breadth remained in favour of the bulls. As many as 296 stocks on the BSE500 index settled the day in the green, while 202 settled the day in the red.

    Podcast: How should investors play the metals theme?
    Metal stocks were back in action today as the BSE sectoral index rose over 5 per cent. How should investors play the metals theme now? Where is Nifty headed now? What are the technical charts suggesting?



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    (What's moving Sensex and Nifty Track latest market news, stock tips and expert advice, on ETMarkets. Also, ETMarkets.com is now on Telegram. For fastest news alerts on financial markets, investment strategies and stocks alerts, subscribe to our Telegram feeds .)

    Download The Economic Times News App to get Daily Market Updates & Live Business News.

    Subscribe to The Economic Times Prime and read the Economic Times ePaper Online.and Sensex Today.

    Top Trending Stocks: SBI Share Price, Axis Bank Share Price, HDFC Bank Share Price, Infosys Share Price, Wipro Share Price, NTPC Share Price

    ...more
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