Nifty closes in red for the third consecutive session; IT and Media stocks witness fresh selling

BPCL, Divis Lab and Bajaj-Auto are the top gainers while HCL Tech, IndusInd Bank and Infosys were the top losers amongst Nifty 50 stocks.     

Market update at 3.30 PM:  

Markets traded weak in a small range for the day. Nifty closed around 41.40 points or 0.23 per cent lower to close around the 17,618 level. 

S&P BSE Sensex also closed lower around 159.21 points. Nifty Midcap 100 and Nifty Smallcap 100 closed flat around 0.09 per cent and 0.10 per cent after profit booking from higher levels respectively.  

Metal and Realty sector showed relative strength but the IT, Media and PSU Bank sectors traded weak for the day. BPCL, Divis Lab and Bajaj-Auto are the top gainers while HCL Tech, IndusInd Bank and Infosys were the top losers amongst Nifty 50 stocks.     

Nifty managed to close above the last swing low on short-term charts which is also a support of 200 DMA before weekly expiry and a fall below 17,570 may start a fresh sell-off.

Market update at 2 PM: Indices have witnessed a sell-off as the day progressed. NSE Nifty 50 index has slipped 0.37 per cent to trade at 17,600 levels while BSE Sensex has lost about 250 points, Even the broader market indices, i.e., Nifty Midcap and Nifty Smallcap turned negative after trading in the green for the initial hours.

Metals and pharma stocks are off from their day’s high, whereas PSU Banks, media and IT stocks continue to show weakness. India VIX has jumped over a per cent amidst such volatility.

Market update at 12.30 PM: Volatility has been ruling D-street for the past few days and today is no exception. After falling over 50 points in the first 10 minutes, Nifty has recovered from its day’s low and currently trades flat. Strong participation is seen in the broader market as Nifty Midcap and Nifty Smallcap have jumped 0.24 per cent and 0.19 per cent respectively.  

Metals, Pharma and Auto stocks are supporting the market while IT and media stocks are weak.  

Divis Laboratories and Bajaj Auto have seen fresh buying interest and should be keenly watched for the rest of the day.  

Market update at 11 AM: Indices have been trading on a mixed note amid strong volatility. NSE Nifty 50 index trades flat and above 17,600 levels. Interestingly, the index has not breached yesterday’s low, which is a positive indication. Meanwhile, Sensex is currently down by 100 points and stock specific action continues in the broader market. Nifty Midcap and Nifty Smallcap trade higher by 0.21 per cent and 0.33 per cent, respectively. 

Nifty Metal has jumped 1 per cent and is currently the top performer amongst the sectoral indices. IT index has plunged over a per cent and is the prime dragger in the market.  

About 1186 stocks are advancing as against 757 stocks that are declining, thus showing positive sentiment in the broader market. 

Strong selling is witnessed in index heavyweights’ stocks such as Infosys, HCL Technologies and IndusInd Bank, while top gainers are Bajaj Auto, Divis Laboratories, and Tata Steel.  

17,600 level happens to be major support level for Nifty and any fall below this level can trigger fresh shorting opportunities. 

Market update at 9.30 AM: Indices have been trading on a mixed note amid strong volatility. NSE Nifty 50 index and S&P BSE Sensex trade marginally lower while stock specific action continues in the broader market. Nifty trades near 17,600 levels while Nifty Midcap has jumped 0.40 per cent.  

Metals and PSU Banks have seen strong buying interest while Nifty IT has dipped three quarters of a per cent. India VIX has surged 1.50 per cent amid volatility.  

Pre-market update:    

On Tuesday, Dow Jones Industrial Average recovered from day’s low to close nearly flat at 33,976 level within its last 2 days consolidation zone. Nasdaq 100 Index witnessed profit booking after gap up opening to closed flat at 13,091 level.  

In global commodities market, Gold and Silver rallied around 0.52 per cent and 0.51 per cent. 

Brent crude futures closed flat with volatility in last trading session.  

In Tuesday's trading session, FIIs sold Rs 810.60 crore and DIIs bought Rs 401.66 crore in equity segment. 

In Derivative segment as compared to previous session, Client's participation has been increased and DIIs participation has been decreased as they witnessed change in both longs and shorts data of index futures. 

While on flip side, PROs and FIIs maintained their existing position with marginal change. From last 2 trading sessions, FIIs changed their stance from bullish to neutral after 9 consecutive sessions. Now FIIs index long position is at 36.74 per cent. 

Now SGX Nifty indicates Nifty likely to open flat with negative bias. Technically, the next key levels for the Nifty are 17,700 and 17,570.