Sensex slips over 400 points, Kotak Mahindra Bank drags; NTPC, Medicamen Biotech, Suzlon shine

Update: The rising COVID cases in Asian countries are causing a bit of a concern for the markets. The European markets are trading on a weak note, taking cues from the US tech stocks as well as the Asian markets. 

The markets slipped in the past couple of hours after showing signs of recovery. Selling pressure in the past couple of hours was seen in Kotak Mahindra Bank, HDFC, and Tech Mahindra.  

Meanwhile, NTPC emerged as the top Sensex gainer as of now, up by nearly 3 per cent, followed by UltraTech Cement and Sun Pharma. Nifty Mid-cap and small-cap indices are showing strength and trading in green along with BSE CPSE & BSE Utilities.  

NTPC, GAIL, and Adani Transmission are seen contributing to BSE Utilities index with Nava Bharat Ventures topping the index, winning charts with nearly 12 per cent gains in today's session.  

BHEL continues to gain momentum and is now up by more than 12 per cent on an intraday basis while MTNL & NCL India are up by more than 9 per cent on an intraday basis. SAIL, MOIL, and NMDC continued to underperform.  

Coal India, UltraTech Cement & Tata Consumer Products took the lead in markets' recovery today while Hindalco, HDFC, and JSW Steel continued to drag. 

BSE CPSE continued dominating the sectoral indices while ITDC emerged as the top index gainer, jumping over 9 per cent on Tuesday. 

Concor, MRPL, and Dredging Corporation of India were some of the other PSU stocks, which gained more than 7 per cent each during the afternoon session of the markets on Tuesday. 

Meanwhile, SAIL, NMDC, and NALCO witnessed profit booking after a stellar performance in the recent trading sessions. 

Besides, Sensex has recovered by more than 100 points in the past one hour. HDFC, Kotak Bank, and Infosys put together contributed to 75 per cent of Sensex's loss of 250 points, by the afternoon session. 

Mid-cap and small-cap indices continue to remain in green; however, they are failing to build on the gains as we proceed towards the closing hours of the trading session. 

Apart from this, Trident Ltd has hit the upper circuit, indicating bullishness in the counter. 

After a gap-down opening, some buying can be finally witnessed in the markets. Sensex is down by 355 points or 0.72 per cent while Nifty slipped 101 points or 0.67 per cent. Coal India, IOC, and Sun Pharma emerged as the top Sensex gainers today. 

Hindalco has become the top Sensex loser along with JSW Steel and HDFC. The banking majors and a few popular IT stocks are seen pulling Sensex down on Tuesday. The small-cap index is in green, bucking the trend and supported by stocks such as Kingfa Science, Duncan Engineering, and Nandan Denim Ltd (NDL).

BHEL, Concor & MRPL are up by more than 5 per cent each, helping the Midcap index trade in the green. BSE CPSE index is in green along with BSE Utilities, BSE Realty, BSE Oil & Gas, and BSE Healthcare. BSE Bankex and BSE Metal indices are amongst the worst hit during Tuesday's morning session.

Nifty started the session with a gap-up opening of around 100 points. Thereafter, it shifted into gradual advance amidst narrow range movements, which continued for the rest of the trading sessions.  

With this, the index extended its northward journey for the fourth consecutive trading session on Monday and also, recorded its highest closing since mid-March. Around 76 per cent of Nifty 50 stocks ended in the green.   

Finally, Nifty closed decisively above the 14,880 resistances but it’s currently placed at the crucial resistance zone of around 14,980-15,050 levels (previous swing high) along with the upper end of the broad range, which Nifty had developed over the last couple of months. Until Nifty manages to close decisively above the range of 14,980-15,050 along with a sizeable bullish candle, a sustainable upswing shall not be expected.   

Now, Nifty is trading above all the short-term averages. Currently, it is 1.41 per cent above the 50-DMA and 2.34 per cent above the 20-DMA. In the last four trading sessions, Nifty has rallied almost 450 points from the low to high. However, during the current upmove, most of the candles have small bodies, which is not a good sign. Ideally, an uptrend should be seen on the back of a sizeable bullish candle as this reflects clear dominance by bulls. Hence, in the near-term, the level of 14,880 is likely to be an important support level to watch out for on the downside as the failure to hold above this would give an indication that Nifty would continue to move in the broad range, which it has developed over the last couple of months.   

So, all eyes would be on whether the index witnesses follow-through buying or not on Tuesday.