Trade Setup: Top 15 things to know before market opens on August 2, 2022

Indian equity benchmarks extended their rally for a fourth
straight session on Monday, led by strength in power, utilities, auto, and
telecom stocks. Domestic indices made a positive start and stayed in green for
the whole day, amid strong inflows from foreign investors.

The Nifty50 has formed a long bull candle on the daily
chart following with a small lower shadow following a gap-up opening,
suggesting a continuation of momentum in the market, according to Nagaraj
Shetti, Technical Research Analyst at HDFC Securities. One can expect more
upside in the short term with resistance in the 17,400-17,450 zone, he said.

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Indian Indices

The Sensex rose 545.25 points, 0.95%, to 58,115.50 while
the Nifty was up by 181.80 points, 1.06%, to 17,340.05 at the close of trading
on Monday. The Sensex moved in a high and low band of 58,170.67 and 57,540.36.
There were 24 stocks advancing against 6 declining stocks on the index. The
Nifty traded in a range of 17,356.25 and 17,154.80. There were 38 stocks
advancing against 11 stocks declining on the index, while 1 stock remained
unchanged on the index.

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Broader Indices

The broader indices ended in green with the BSE mid-cap
index increasing 1.51%, while the small-cap index was up by 1.47%. On the
sectoral front, Power was up by 3.43%, Utilities up by 3.38%, Auto up by 3.23%,
Telecom up by 2.49%, and Industrials up by 2.31%, while there were no losing
sectoral indices on the BSE.

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India VIX Index

Nifty or India VIX, a gauge of the market’s expectation of
volatility over the near term, rose 5.65% to 17.48 on Monday.

SGX Nifty

The trends on SGX Nifty indicate a negative opening for the
index in India with a 58 points loss. The
Nifty futures were trading at 17,341.50 on the
Singaporean Exchange around 07:00 hours IST.

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Support and Resistance levels

The key support level for the Nifty is placed at 17,211,
followed by 17,082. If the index moves up, the key resistance levels to watch
out for are 17,413 and 17,485, according to pivot charts.

US Markets

The S&P 500 fell 11.66 points, or 0.3%, to 4,118.63.

The Dow Jones Industrial Average fell 46.73 points, or 0.1%, to 32,798.40.

The Nasdaq fell 21.71 points, or 0.2%, to 12,368.98.

The Russell 2000 index of smaller companies fell 1.92 points, or 0.1%, to 1,883.31.

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Asian Markets

Asian markets ended mostly higher on Monday. The Shanghai
Composite rose 0.21%, Nikkei 225 rose 0.69%, the Hang Seng rose 0.05% and the
KOSPI Composite rose 0.03%.

European Markets

European markets ended mostly down on Monday. France’s CAC
40 was down by 0.18%, Germany’s DAX was down by 0.033% and London’s FTSE 100
was down by 0.13%.

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Major News Headlines

5G spectrum auction concludes, Reliance Jio biggest
acquirer

The 5G spectrum auction has concluded successfully with a
total bid amount of Rs 150,173 crore on Monday. A total of 51,236 MHz of the
spectrum has been sold, out of the 72,098 MHz on offer, telecom minister
Ashwini Vaishnaw said addressing the media after the conclusion of the auction.
Reliance Jio, the telecom unit of Reliance Industries is the largest acquirer
of the 5G spectrum, worth over Rs 88,000 crore. Jio has bought 24,740 MHz of 5G
spectrum, Airtel has 19,867 MHz spectrum in various bands, the minister added.

India’s second-largest telco, Bharti Airtel acquired 19,867
MHz (700, 800, 1800, 3300, 26GHz), which is worth Rs 43,084 crore. Vodafone
Idea acquired 6,228 MHz of spectrum, which costs Rs 18,784 crore. New entrant
Adani Group bought a 400 MHz spectrum in the 26 GHz band, worth Rs 212 crore.

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Zomato Q1 Results: Net loss narrows to Rs 186 crore,
revenue up 68%

The online food delivery company reported a consolidated
loss of Rs 186 crore for the quarter ended June 2022, which narrowed compared
to a loss of Rs 360.7 crore in the consolidated period of the previous fiscal
and a loss of Rs 360 crore in the fourth quarter of fiscal 2023. It was backed
by other income that more than doubled to Rs 168.1 crore from Rs 72.2 crore
year on year. Revenue surged by 67.4% year-on-year and 16.67%
quarter-on-quarter to Rs 1,413.9 crore during the April-June quarter.

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Eveready Industries Q1 Results: Profit declines 27.5% to Rs
22 crore

The battery and flashlights maker reported a decline of
27.48% in its consolidated net profit at Rs 21.85 crore for the quarter ended
June 30, 2022. The company had posted a net profit of Rs 30.13 crore in the
year-ago period. Its revenue from operations was up 18.87% to Rs 335.38 crore
during the reported quarter as against Rs 282.14 crore in the year-ago period.

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ITC Q1 Results: Net profit rises 34% to Rs 4,389 crore

The company reported a 38.3% year-on-year increase in
standalone profit at Rs 4,169.4 crore for the quarter ended June 2022, on the
back of strong topline and operating performance. Revenue surged by 41.4%
year-on-year to Rs 18,320 crore during the April-June quarter of fiscal 2023
with growth across segments. EBITDA grew 41.5% year-on-year to Rs 5,647.2 crore
in the reported quarter.

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Bulk Deal data

Ashish Ramesh Chandra Kacholia bought 3,72,128 shares in
Agarwal Inds Corp Limited at Rs 505.00 per share on the Nse.

Limited Balaji Infraconclave Private bought 2,00,000 shares
in Agni Green Power Limited at Rs 25.77 per share on the Nse.

Touchline Securities Private Limited sold 3,00,000 shares
in Ansal Housing and Construction Limited at Rs 6.72 per share on the Nse.

Ved Prakash Agarwal sold 1,83,000 shares in DCM Limited at
Rs 45.52 per share on the Nse.

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Navratri Share Trading Private Limited bought 67,500 shares
in Globe International Carriers Limited at Rs 76.69 per share on the Nse.

Solenco Services LLP sold 75,000 shares in Hilton Metal
Forging Limited at Rs 46.12 per share on the Nse.

Smallcap World Fund INC bought 5,54,883 shares in Mastek
Limited at Rs 2109.96 per share on the Nse.

Satnam Arora bought 4,70,000 shares in Moksh Ornaments
Limited at Rs 18.65 per share on the Nse.

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Avinash Hariom Gupta bought 1,49,013 shares in Oriental
Trimex Limited at Rs 14.37 per share on the Nse.

Patel Holdings Limited sold 2,07,296 shares in Patel
Integrated Logistic at Rs 16.97 per share on the Nse.

Albula Investment Fund Limited sold 28,32,492 shares in
Spacenet Enters Ind Limited at Rs 9.37 per share on the Nse.

Navodya Enterprises bought 5,00,000 shares in West Coast
Paper Mills at Rs 475.16 per share on the Nse.

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DII and FII data

Foreign institutional investors (FIIs) net bought shares
worth Rs 2,320.61 crore, whereas domestic institutional investors (DIIs) net
sold shares worth Rs 822.23 crore on August 1, as per provisional data available
on the NSE.

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NSE F&O Ban

Zero stocks/securities have been placed under the F&O
ban for August 02. Securities in the ban period under the F&O segment
include companies in which the security has crossed 95% of the market-wide
position limit.