Trade Setup: Top 15 things to know before market opens on August 3, 2022
- The Sensex rose 20.86 points, 0.04%, to 58,136.36 and the Nifty was up by 5.40 points, 0.03%, to 17,344.45
- Nifty or India VIX, rose 5.98% to 18.53 on Tuesday
- The trends on SGX Nifty indicate a positive opening for the index in India
Indian equity benchmarks closed almost flat with positive bias after a volatile trading session on Tuesday led by gains in IndusInd Bank, Asian Paints shares amid weak global trends. After making a negative start, markets erased all their losses and traded near neutral lines with positive bias in late afternoon session, taking support from finance minister Nirmala Sitharaman’s statement that India’s macroeconomic fundamentals are intact and there is no risk of the economy entering into recession or stagflation.
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The Nifty50 has formed a small positive candle on the daily chart with upper and lower shadows, and one may expect some correction in the short term, according to Nagaraj Shetti, Technical Research Analyst at HDFC Securities. "Technically, this pattern indicates the formation of a high wave type pattern at the hurdle of 17,400," he said.
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The Sensex rose 20.86 points, 0.04%, to 58,136.36 while the Nifty was up by 5.40 points, 0.03%, to 17,344.45 at close of trading on Tuesday. The Sensex moved in a high and low band of 58,328.41 and 57,744.70. There were 16 stocks advancing against 14 declining stocks on the index. The Nifty traded in a range of 17,390.15 and 17,215.85. There were 24 stocks advancing against 26 stocks declining on the index.
The broader indices ended in green with the BSE mid-cap index increasing 0.50%, while small-cap index was up by 0.34%. On the sectoral front, Power was up by 2.00%, Utilities up by 1.81%, PSU up by 1.03%, Consumer Discretionary up by 0.81% and FMCG up by 0.65%, while Realty down by 1.74%, TECK down by 0.54%, IT down by 0.52%, Capital Goods down by 0.39% and Metal down by 0.37% were the top losing indices on BSE.
India VIX Index
Nifty or India VIX, a gauge of the market's expectation of volatility over the near term, rose 5.98% to 18.53 on Tuesday.
The trends on SGX Nifty indicate a positive opening for the index in India with a 34 points gain. The Nifty futures were trading at 17,360.50 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 17,244, followed by 17,143. If the index moves up, the key resistance levels to watch out for are 17,418 and 17,492, according to pivot charts.
The S&P 500 fell 27.44 points, or 0.7%, to 4,091.19.
The Dow Jones Industrial Average fell 402.23 points, or 1.2%, to 32,396.17.
The Nasdaq fell 20.22 points, or 0.2%, to 12,348.76.
The Russell 2000 index of smaller companies fell 0.86 points, or less than 0.1%, to 1,882.45.
Asian markets ended mostly lower on Tuesday. The Shanghai Composite fell 2.26%, Nikkei 225 fell 1.42%, the Hang Seng fell 2.36% and the KOSPI Composite fell 0.52%.
European markets ended mostly down on Tuesday. France's CAC 40 was down by 0.42%, Germany’s DAX was down by 0.23% and London's FTSE 100 was down by 0.058%.
Major News Headlines
Adani Green Energy Q1 Results: Net profit falls 2% to Rs 214 crore
The Adani Group-owned firm reported a 2.3% year-on-year decline in consolidated profit at Rs 214 crore for the quarter ended June 2022, impacted by lower other income and forex loss. Revenue jumped by 58% year-on-year to Rs 1,701 crore during the reported quarter. Strong growth in revenue and EBITDA from the power supply is backed by capacity addition, improved solar and wind CUF, and high hybrid CUF. The consistent EBITDA margin (flat at 92% year-on-year), is backed by the high solar, wind, and hybrid CUF and cost efficiencies brought in through real-time centralized monitoring through the energy network operation center.
Aurobindo Pharma’s Andhra unit get Form 483 with 3 USFDA observations
The pharma major’s API non-antibiotic manufacturing facility in Andhra Pradesh has received a 'Form 483' with 3 observations, but none of these observations is related to data integrity. The USFDA inspected the company’s Unit XI, an API non-antibiotic facility from July 25 to August 2. Earlier, the same Unit was classified as OAI on May 17, 2019, and subsequently issued a warning letter dated June 20, 2019.
Voltas Q1 Results: Net profit fall 10% to Rs 109 crore, revenue up 50%
The Tata Group subsidiary reported a 10% year-on-year decline in profit at Rs 110 crore for the quarter ended June 2022 impacted by other income. Revenue from operations increased by 50% year-on-year to Rs 2,795 crore during the first quarter, largely driven by the unitary cooling products segment that grew 125% year-on-year.
Paradeep Phosphates Q1 Results: Net profit grew 4.7% to Rs 62 crore
The company posted a 4.7% year-on-year increase in consolidated net profit at Rs 62.77 crore for the quarter ended June 2022, impacted by higher finance costs, and input costs but supported by the top line. Revenue from operations surged 85% year-on-year to Rs 2,434.66 crore during the reported quarter.
Santa Ghosh bought 2,20,000 shares in Agni Green Power Limited at Rs 26.42 per share on the Nse.
Ved Prakash Agarwal sold 1,76,270 shares in DCM Limited at Rs 51.64 per share on the Nse.
Preeti Bhauka sold 33,00,100 shares in Integra Essentia Limited at Rs 6.06 per share on the Nse.
Nomura Singapore Limited bought 11,50,000 shares in Easy Trip Planners Limited at Rs 399.00 per share on the Nse.
Ramesh Bhandappa Munnoli bought 52,500 shares in Globe Intl Carriers Limited at Rs 74.99 per share on the Nse.
Sunrise Infinlease Pvt Ltd sold 1,11,100 shares in Hardwyn India Limited at Rs 197.98 per share on the Nse.
Sunflower Broking Pvt Ltd sold 89,200 shares in Kotyark Industries Limited at Rs 243.49 per share on the Nse.
Team India Managers Ltd bought 93,927 shares in Libas Consu Products Limited at Rs 26.49 per share on the Nse.
Arbina Maqbool Dhoki sold 5,91,549 shares in Moksh Ornaments Limited at Rs 17.58 per share on the Nse.
Ankita Vishal Shah bought 57,82,665 shares in Vikas EcoTech Limited at Rs 3.79 per share on the Nse.
Foreign institutional investors (FIIs) bought shares worth a net Rs 825.18 crore, while domestic institutional investors (DIIs) purchased shares worth a net Rs 117.79 crore on August 2, as per provisional data available on the NSE.
Escorts has been placed under the F&O ban for August 3. 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.