Gains In The Market; The Nifty Ended Above 18000

NIFTY:

the NIFTY opened at 17922.80 with a gap up of just 28 points. The index recorded its intraday low at 17886.95 in its initial trades and started moving higher. Prices went above 18000 and then started facing resistance there to form a trading range. The range eventually broke on the downside and prices moved lower but soon found support. The index again rose which lasted till the end. A sharp rally brought prices to its intraday high at 18072.05. Prices have finally closed at 18053.30 with a gain of 158.5 points or 089% up. OIL GAS, REALTY, and FMCG sectors have outperformed today and ended with a gain of over 1% followed by IT and AUTO. MEDIA underperformed today and ended with a loss of nearly one percent. The short-term trend remained sideways. On the daily timeframe chart, we have been tracking a narrow trading range with support around 17800 and resistance around 18100. For the past nine trading days, prices have been dosing within this range. We may see a breakout soon. Tomorrow, we should look for a trading opportunity in the direction of a breakout. Look to buy above 18100 or sell short below 17900. In case of a gap apply the first 15-minute rule. Keep a stop of 80 points and a target of 240 points from your entry price.

BANK NIFTY:

The BANK NIFTY opened at 42241.20 with a gap up of 80 points. Initially, the index moved lower but soon bounced up and rallied to record its intraday high at 42383.80. Prices faces strong resistance there and saw a steep fall. The index recorded its intraday low at 41861.10 and then started moving higher which lasted till the end. Prices have finally closed at 42281.10 with a gain of 120 points. PSU BANK has underperformed today, saw a sharp downside move, and closed with a loss of 1.84% PVT BANK has outperformance today and closed with a gain of 0.13%. Within the index, in terms of points, HDFC BANK contributed the highest on the upside while SBIN contributed the lowest. It was a volatile day today in the Bank Index where prices have seen two sharp rallies and one sharp decline. The index ended with gains near its opening tick. The short-term trend is sideways. We have been tracking a narrow trading range with support around 41700 and resistance around 42700. It has been 8 days since prices are moving inside these boundaries. Tomorrow, we should look for a trading opportunity in the direction of a breakout. The idea is to buy above 42500 or sell short below 41900. In case of a gap, apply the first 15-minute rule. Keep a stop of 240 points and a target of 800 points from your entry price.

TECHNICAL PICKS

DERIVATIVE PICKS

TOP DELIVERY PERCENTAGE

UPCOMING ECONOMIC DATA

Domestic                                                                                                                                                  International
INR: Nikkei S&P Global Manufacturing PMI (Jan) on 1st  February, 2023 INR: Union Budget 2023-24 on 1st  February, 2023	USD: Core Retail Sales (MoM) (Dec) on 18th  January, 2023 USD: PPI (MoM) (Dec) on 18th  January, 2023

NEWS UPDATES

• Indian benchmark indices ended higher on January 17 with Nifty above 18,000.At Close, the Sensex was up 562.75 points or 0.94% at 60,655.72, and the Nifty was up 158.50 points or 0.89% at 18,053.30. About 1641 shares have advanced, 1764 shares declined, and 133 shares are unchanged..

• FSN E-Commerce Ventures, the parent company of fashion and cosmetics retailer Nykaa, plunged nearly 5 percent, hitting a record low level on January 17. The selling takes place along with a huge surge in volume.

• Paytm may turn operationally profitable by March 2023, according to Goldman Sachs, two quarters ahead of the brokerage’s earlier expectations and the company’s own guidance. The brokerage also maintained ‘buy’ ratings on One97 Communications Ltd., the operator of Paytm, while raising its target price to Rs 1,120 apiece from Rs 1,100 apiece, implying an upside of over 100%.

• Bank of India fell over 8 percent, its steepest fall in five week, on Tuesday after it reported divergence in its asset classification for the December quarter, resulting in lower net profit. The stock lost as much as 8.3 percent, its maximum fall since December 9, 2022 to Rs 89.60 a share.

Source: Economic Times,  Indian Express, Business Today, Livemint, Business Standard, Bloomberg Quint

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