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    Ahead of Market: 10 things that will decide D-St action on Thursday

    Synopsis

    Nagaraj Shetti, Technical Research Analyst, HDFC Securities, said: “After showing sharp weakness on Tuesday, Nifty shifted into a sustainable upside bounce amidst volatility on Wednesday and closed the day higher by 140 points. Intraday buying emerged from the day's low of 16960 levels, and the market continued its upside momentum till the end.

    iStock-166097278Agencies
    NEW DELHI: The domestic equity market settled with gains after three sessions, with the Nifty50 settling above the 17,100 mark. Broader markets, however, underperformed the headline indices, with Nifty Midcap 100 notching 0.62% gains. Sectorally, the realty pack emerged as the outlier, followed by PSU Bank and FMCG stocks.

    Here's how analysts read the market pulse:

    Rupak De, Senior Technical Analyst at LKP Securities, said: "On the daily chart, the Nifty made a bullish harami pattern, suggesting a rise in optimism. Besides, the index found support at 200-DMA for the second consecutive day. The daily RSI is in a bullish crossover. Over the short term, the index may remain within a band. On the lower end, 17,000 may act as support, whereas 17,300 may act as resistance on the higher end."

    Nagaraj Shetti, Technical Research Analyst, HDFC Securities, said: “After showing sharp weakness on Tuesday, Nifty shifted into a sustainable upside bounce amidst volatility on Wednesday and closed the day higher by 140 points. Intraday buying emerged from the day's low of 16960 levels, and the market continued its upside momentum till the end.

    That said, here’s a look at what some key indicators are suggesting for Thursday’s action:

    S&P 500, Nasdaq rise after five-day selloff
    The S&P 500 and the Nasdaq bounced on Wednesday after a five-day selloff, but inflation and rate hike worries capped the gains after a higher-than-expected rise in September producer prices.

    At 10:00 a.m. ET, the Dow Jones Industrial Average was up 117.80 points, or 0.40%, at 29,356.99, the S&P 500 was up 9.26 points, or 0.26%, at 3,598.10, and the Nasdaq Composite was up 19.97 points, or 0.19%, at 10,446.16.

    European shares close lower for sixth day
    European shares ended with cuts for a sixth straight session on Wednesday as a slew of mixed earnings reports heightened worries about the impact of tighter monetary policies and soaring inflation on corporate profits. The pan-European Stoxx 600 ended 0.4% lower

    Tech View: Bullish harami pattern on the daily charts
    Nifty50 ended Wednesday’s session above the 17,100 mark, an important Fibonacci level. The Index established a bullish harami pattern on the daily charts suggesting a rise in optimism.

    Stocks showing bullish bias
    Momentum indicator Moving Average Convergence Divergence (MACD) showed a bullish trade setup on the counters of Power Grid, L&T Finance, Indiabulls Real Estate, City Union Bank and DLF, among others.

    The MACD is known for signaling 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 Himadri Speciality, Jai Corp, Texmaco Rail, Cipla and Arvind Fashions.

    A bearish crossover on the MACD on these counters indicated that they had just begun their downward journey.

    Most active stocks in value terms
    Crompton Greaves (Rs 82.2 crore), Infosys (Rs 52.99 crore), Axis Bank (Rs 43.3 crore), Zomato (Rs 41.87 crore), and Suzlon (Rs 40 crore) were among the most active stocks on NSE 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
    Suzlon Energy (Shares traded: 5.68 crore), JP Power (Shares traded: 3.03 crore), Vodafone Idea (Shares traded: 2.42 crore), Yes Bank (Shares traded: 0.69 crore), and Zomato (Shares traded: 0.64 crore) were among the most traded stocks in the session on NSE.

    Stocks showing buying interest
    Shares of KRBL, Campus Activewear and Kalpataru Power witnessed strong buying interest from market participants as they scaled their fresh 52-week highs, signalling bullish sentiment.

    Stocks seeing selling pressure
    Shares of Alembic Pharma, Medplus Health, Biocon, Mastek, Voltas and Oracle witnessed strong selling pressure and hit their 52-week lows, signaling bearish sentiment on the counters.

    Sentiment meter favours bears
    The market breadth favoured losers as 1,840 stocks ended with cuts, while 1,602 names advanced.

    (Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)



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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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