Sensex, Nifty close higher on positive global cues; time to book profit?
Market rally today: Sensex closed 819 pts higher at 79,705 and Nifty gained 250 pts to 24,367. The benchmark indices opened with huge gains today. Sensex rose 1,098 pts to 79,984 and Nifty climbed 241 points to 24,359 in early deals.
- Aug 9, 2024,
- Updated Aug 9, 2024 5:47 PM IST
The Indian stock market ended higher on Friday amid positive global cues. Sensex closed 819 pts higher at 79,705 and Nifty gained 250 pts to 24,367. The benchmark indices opened with huge gains today. Sensex rose 1,098 pts to 79,984 and Nifty climbed 241 points to 24,359 in early deals. The market held onto gains through the session to close in the green as US jobs data cheered global markets. Tech Mahindra, Tata Motors, HCL Tech, M&M and JSW Steel were the top Sensex gainers, rising up to 2.74% today. Of 30 Sensex stocks, 28 ended in the green.
Market cap of BSE-listed firms climbed Rs 4.46 lakh crore to Rs 450.21 lakh crore against Rs 445.75 lakh crore on Thursday.
As many as 247 stocks hit their 52-week highs today. On the other hand, 30 shares touched their 52-week lows on BSE.
Market breadth was positive. Of 4006 stocks traded, 2330 stocks ended in the green. Around 1579 stocks closed in the red while 97 stocks remained unchanged.
With Sensex and Nifty taking cues from the global markets, which seem to be very volatile amid tensions rising between Iran and Israel, should investors hold onto their positions or book profit in the near term? Here's what analysts said on the outlook of the Indian stock market.
Market outlook
Prashanth Tapse, Senior VP (Research), Mehta Equities said, “Strong global market cues provided a major impetus to local shares as Sensex surged more than 1,000 points in intra-day trades on all-round buying support. Despite volatility in foreign fund flows this year, capital infusion by domestic institutions have been robust over the past year or so, which is giving local markets a major success in times of volatile phase.”
Siddhartha Khemka, Head - Retail Research, Motilal Oswal Financial Services said, "Over the past few days, Nifty has been volatile with some recovery seen in the last few days. India Vix descended from 20 levels to 15 during the week, showing an easing in cautiousness in the market and improvement in sentiments. Going forward, we expect markets to consolidate at higher levels due to mixed global cues and absence of any major domestic triggers."
Ajit Mishra, SVP, Research, Religare Broking said, "Global volatility is leading to erratic market swings, keeping traders on edge. We recommend a cautious approach until Nifty decisively closes above the 24,500 level. In the meantime, certain sectors and themes are showing resilience, so traders should adjust their positions accordingly."
Dhupesh Dhameja, Technical Analyst, SAMCO Securities said, "Currently, Nifty remains confined within a tight range of 24,400 to 23,950. On the daily chart, resistance from the 10-20 Daily Exponential Moving Averages is exerting downward pressure. To break out of this range and sustain an upward trend, the index must decisively breach the 24,450 level; otherwise, it risks remaining trapped in a range-bound trade with intraday fluctuations."
Rajesh Bhosale, Equity Technical Analyst, Angel One said, "A breakout above 24400 - 24450 might generate optimism, potentially filling the recent gap at 24700. However, given the ongoing global uncertainty, any bounce could be an opportunity to reduce long positions. On the downside, support is seen at 24100 - 24000, and a break below this range could lead to further declines in the near term. Traders should closely monitor these levels and plan their trades accordingly. It's also advisable to focus on stock-specific actions, adopting a selective approach. Since market movements were primarily driven by global cues, it's essential to stay updated on those developments as well."
US market
In the US, first-time claims for unemployment benefits declined last week to 2,33,000 from the prior week’s upwardly revised total of 250,000, showed data from Department of Labour on Thursday.
Overnight, US markets ended with big gains.
Dow Jones closed 679 pts higher at 39,443 and Nasdaq added 463 pts to 16,659. S&P 500 closed 120 pts higher at 5320 on Thursday.
Asian markets
Japan's Nikkei gained 194 pts to 35,025 and Hang Seng rose 198 pts to 17,090 today. Taiwan Weighted index climbed 598 pts to 21,469. Kospi added 31 pts to 2,588 on Monday.
European markets
FTSE rose 35 pts to 8180 on Friday. France's CAC added 27 pts to 7274 and DAX closed 40 points higher at 17,720.
FII-DII data
Foreign institutional investors sold Rs 2,626 crore worth of equities on a net basis on Thursday, while domestic investors bought Rs 577.30 crore of shares, as per provisional NSE data.
Previous session
Sensex fell 582 pts to 78,886 and Nifty ended 180 points lower at 24,117. Asian Paints, Infosys, PowerGrid, L&T and Ultratech Cement were the top Sensex losers, falling up to 3.21% on Thursday.
The Indian stock market ended higher on Friday amid positive global cues. Sensex closed 819 pts higher at 79,705 and Nifty gained 250 pts to 24,367. The benchmark indices opened with huge gains today. Sensex rose 1,098 pts to 79,984 and Nifty climbed 241 points to 24,359 in early deals. The market held onto gains through the session to close in the green as US jobs data cheered global markets. Tech Mahindra, Tata Motors, HCL Tech, M&M and JSW Steel were the top Sensex gainers, rising up to 2.74% today. Of 30 Sensex stocks, 28 ended in the green.
Market cap of BSE-listed firms climbed Rs 4.46 lakh crore to Rs 450.21 lakh crore against Rs 445.75 lakh crore on Thursday.
As many as 247 stocks hit their 52-week highs today. On the other hand, 30 shares touched their 52-week lows on BSE.
Market breadth was positive. Of 4006 stocks traded, 2330 stocks ended in the green. Around 1579 stocks closed in the red while 97 stocks remained unchanged.
With Sensex and Nifty taking cues from the global markets, which seem to be very volatile amid tensions rising between Iran and Israel, should investors hold onto their positions or book profit in the near term? Here's what analysts said on the outlook of the Indian stock market.
Market outlook
Prashanth Tapse, Senior VP (Research), Mehta Equities said, “Strong global market cues provided a major impetus to local shares as Sensex surged more than 1,000 points in intra-day trades on all-round buying support. Despite volatility in foreign fund flows this year, capital infusion by domestic institutions have been robust over the past year or so, which is giving local markets a major success in times of volatile phase.”
Siddhartha Khemka, Head - Retail Research, Motilal Oswal Financial Services said, "Over the past few days, Nifty has been volatile with some recovery seen in the last few days. India Vix descended from 20 levels to 15 during the week, showing an easing in cautiousness in the market and improvement in sentiments. Going forward, we expect markets to consolidate at higher levels due to mixed global cues and absence of any major domestic triggers."
Ajit Mishra, SVP, Research, Religare Broking said, "Global volatility is leading to erratic market swings, keeping traders on edge. We recommend a cautious approach until Nifty decisively closes above the 24,500 level. In the meantime, certain sectors and themes are showing resilience, so traders should adjust their positions accordingly."
Dhupesh Dhameja, Technical Analyst, SAMCO Securities said, "Currently, Nifty remains confined within a tight range of 24,400 to 23,950. On the daily chart, resistance from the 10-20 Daily Exponential Moving Averages is exerting downward pressure. To break out of this range and sustain an upward trend, the index must decisively breach the 24,450 level; otherwise, it risks remaining trapped in a range-bound trade with intraday fluctuations."
Rajesh Bhosale, Equity Technical Analyst, Angel One said, "A breakout above 24400 - 24450 might generate optimism, potentially filling the recent gap at 24700. However, given the ongoing global uncertainty, any bounce could be an opportunity to reduce long positions. On the downside, support is seen at 24100 - 24000, and a break below this range could lead to further declines in the near term. Traders should closely monitor these levels and plan their trades accordingly. It's also advisable to focus on stock-specific actions, adopting a selective approach. Since market movements were primarily driven by global cues, it's essential to stay updated on those developments as well."
US market
In the US, first-time claims for unemployment benefits declined last week to 2,33,000 from the prior week’s upwardly revised total of 250,000, showed data from Department of Labour on Thursday.
Overnight, US markets ended with big gains.
Dow Jones closed 679 pts higher at 39,443 and Nasdaq added 463 pts to 16,659. S&P 500 closed 120 pts higher at 5320 on Thursday.
Asian markets
Japan's Nikkei gained 194 pts to 35,025 and Hang Seng rose 198 pts to 17,090 today. Taiwan Weighted index climbed 598 pts to 21,469. Kospi added 31 pts to 2,588 on Monday.
European markets
FTSE rose 35 pts to 8180 on Friday. France's CAC added 27 pts to 7274 and DAX closed 40 points higher at 17,720.
FII-DII data
Foreign institutional investors sold Rs 2,626 crore worth of equities on a net basis on Thursday, while domestic investors bought Rs 577.30 crore of shares, as per provisional NSE data.
Previous session
Sensex fell 582 pts to 78,886 and Nifty ended 180 points lower at 24,117. Asian Paints, Infosys, PowerGrid, L&T and Ultratech Cement were the top Sensex losers, falling up to 3.21% on Thursday.