Trade Setup: Top 14 things to know before market opens on June 23, 2022
- Sensex fell 709.54 points or 1.35% to 52,532.07 and the Nifty was down by 225.50 points or 1.44% to 15,413.30
- Nifty or India VIX, rose 0.74% to 21.30 on Wednesday
- Asian markets ended mostly lower on Wednesday
Indian benchmark indices broke a two-day rally and closed the Wednesday’s session on negative note, with Sensex and Nifty breaching their crucial psychological 51,900 and 15,450 levels, respectively. Markets traded in red since the opening, amid heavy selling pressure along with weak Asian cues.
The Nifty50 has formed a reasonable negative candle on the daily chart, signalling the possibility of a bull trap in the market, according to Nagaraj Shetti, Technical Research Analyst at HDFC Securities. He believes the 50-scrip index is in for more pain ahead as the market lacks the strength to sustain the upside.
Sensex fell 709.54 points or 1.35% to 52,532.07 and the Nifty was down by 225.50 points or 1.44% to 15,413.30 in the previous session. Sensex touched high and low of 52,272.85 and 51,739.98, respectively. There were 4 stocks advancing against 26 stock declining on the index. Nifty traded in a range of 15,565.40 and 15,385.95. There were 5 stocks advancing against 45 stocks declining on the index.
Also Read | Making Amazon safer, one robot at a time
The broader indices ended in red with the BSE Mid cap index falling 1.53%, while Small cap index was down by 1.11%. On the sectoral front, Metal was down by 4.96%, Basic Materials was down by 2.67%, Realty was down by 2.24%, Energy was down by 2.24% and Power was down by 2.11%, while there were no gaining sectoral indices on the BSE.
India VIX Index
Nifty or India VIX, a gauge of the market's expectation of volatility over the near term, rose 0.74% to 21.30 on Wednesday.
Support and Resistance levels
The key support level for the Nifty is placed at 15,344, followed by 15,275. If the index moves up, the key resistance levels to watch out for are 15,524 and 15,634, according to pivot charts.
The S&P 500 fell 4.90 points, or 0.13%, to 3,754.89.
The Dow Jones Industrial Average fell 47.12 points, or 0.15%, to 30,483.13.
The Nasdaq fell 16.22 points, or 0.15%, to 11,053.08.
The Russell 2000 index of smaller companies rose 3.75 points, or 0.22%, to 1,690.28.
Asian markets ended mostly lower on Wednesday. The Nikkei 225 fell 0.74%, the Hang Seng fell 2.56% and the Shanghai Composite fell 1.20%.
European markets ended lower on Wednesday, Germany’s DAX was down by 1.11%, France's CAC 40 was up by 0.81% and London's FTSE 100 was up by 0.88%.
Major News Headlines
CBI books DHFL’s Kapil Wadhawan, other in bank fraud of Rs 34,615 crore
The Central Bureau of Investigation (CBI) has booked Dewan Housing Finance Limited, its former CMD Kapil Wadhawan, director Dheeraj Wadhawan, and others for bank fraud of Rs 34,615 crore, making it the biggest such case investigated by the agency. The action follows a complaint from the Union Bank of India (UBI), the leader of a 17-member bank consortium that had extended credit facilities around Rs 42,871 crore between 2010 and 2018. The bank has alleged that Kapil and Dheeraj Wadhawan in a criminal conspiracy with other misrepresented and concealed facts, committed a criminal breach of trust and abused public funds to cheat the consortium of around Rs 34,614 crore by defaulting on loan repayments from May 2019 onwards.
Andhra Pradesh CM clears Adani Green Energy projects worth over Rs 15,740 crore
Andhra Pradesh government has cleared pump storage projects by Adani Green Energy with a total capacity of 3,700 MW, with an aim to boost the green energy sector in the state. The project was cleared in the State Investment Promotion Board (SIPB) review meeting on June 22. Chief Minister Jagan Mohan Reddy has approved the proposal of investment worth Rs 15,740 crore which is a part of the proposal total investment of Rs 60,000 crore by the Adani group in Andhra Pradesh that was discussed during the World Economic Forum (WEF) meeting at Davos. Adani Group has proposed pump storage projects in four districts of the state.
GAIL forays into distributed LNG production business to offer fuel to users
GAIL (India) Limited, the country’s largest gas transportation and marketing firm, announced plans to enter into distributed Liquefied Natural Gas (LNG) production to take the fuel to users. GAIL will liquefy or turn natural gas into a liquid at sub-zero temperature and transport it in a truck to users. The company has placed an order for two small-scale liquefaction skids capable of producing LNG on a pilot basis. The proprietary technology-based mobile liquefaction skids will be used for liquefaction.
Vodafone Idea board approves Rs 436 crore fund raising plan
The telecom services provider said the board has approved the raising of funds up to Rs 436.21 crore from promoter Euro Pacific on a preferential basis. The board also approved the convening of an Extraordinary General Meeting of the company on July 15 to seek shareholders’ approval for the said preferential issue.
ESCORP ASSET MANAGEMENT LIMITED sold 50,000 shares in Ambani Organics Limited at Rs 105.45 per share on the NSE.
CHETAN ANANTRAI PATEL bought 1,02,000 shares in Goldstar Power Limited at Rs 25.90 per share on the NSE.
RIKHAV SECURITIES LIMITED sold 2,34,000 shares in Goldstar Power Limited at Rs 25.90 per share as per NSE.
ALBATROSS HOMES PRIVATE LIMITED sold 24,000 shares in MK Proteins Limited at Rs 193.01 per share as per NSE.
NIRAJ RAHNIKANT SHAH sold 30,00,000 shares in Supreme Engineering Limited at Rs 2.75 per share as per NSE.
VIKRAMKUMAR KARANRAJ SAKARIA HUF DAKSH CORPORATION bought 30,69,907 shares in Supreme Engineering Limited at Rs 2.74 per share as per NSE.
Foreign institutional investors (FIIs) sold shares worth a net Rs 2,920.61 crore, while domestic institutional investors (DIIs) bought shares worth a net Rs 1,859.07 crore in the Indian equity market on June 22, as per provisional data available on the NSE.
Indiabulls Housing Finance, RBL Bank and Sun TV Network are under the F&O ban for June 23. 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.