INSUBCONTINENT EXCLUSIVE:
NEW DELHI: Equity indices Sensex and Nifty took big blows on Monday on the eve of Assembly poll outcome on the assessment that the road for
the ruling BJP in 2019 will be bumpy.
The results of elections of five Indian states are due on Tuesday
Exit poll results have already painted a picture of tough numbers for the BJP
A selloff in global stocks on growth worries and a flare-up of tension between the US and China made investors jittery
An upswing in crude oil prices after Opec and its allies agreed to cut production dragged the rupee lower, making the situation even worse
The Sensex crashed 714 points, or 2 per cent, to end at 34,959.72, with only Coal India (0.76 per cent) and Maruti Suzuki (0.49 per cent)
holding up.
The NSE benchmark Nifty plunged 205 points, or 1.92 per cent, to close the day at 10,488.45, with five stocks - Indian Oil
Corporation, BPCL, Coal India, HPCL and Maruti - going up
A total of 44 slid as Eicher Motors settled unchanged
BSE Midcap and Smallcap indices closed 1.84 per cent down each, whereas the volatility index, India VIX, jumped 10.85 per cent
Let's take a look at highlights of Monday's session.
Rs 2.50 lakh crore knocked off!Over Rs 2.50 lakh crore worth of wealth was gone on
Monday's selloff as the cumulative market capitalisation of BSE listed firms plunged to Rs 1,37,92,970.08 crore from Rs 1,40,43,253.64
Top drags on SensexReliance Industries accounted for much of the Sensex weakness, followed by Kotak Mahindra Bank, HDFC, Infosys and Larsen
In terms of percentage losses, Kotak Mahindra Bank (down 6.56 per cent) led the band, followed by Reliance Industries (3.95 per cent), Asian
Paints (down 3.48 per cent), Tata Motors (down 3.45 per cent) and Adani Ports (down 3.41 per cent)
Nifty falls below the signal lineThe Nifty came off around 2 per cent, with daily MACD making a negative crossover on charts
Top BSE losersInfibeam Avenues (down 10.14 per cent), NLC India (down 7.43 per cent), Magma Fincorp (down 7.37 per cent), Jubilant Life
Sciences (down 7.13 per cent) and Jet Airways (India) (down 6.77 per cent) emerged as the top five losers on the BSE
Meanwhile, Texmaco Rail Engineering (up 5.58 per cent), HFCL (up 4.84 per cent), Ashoka Buildcon (up 4.45 per cent), D B Corp (up 3.73 per
cent) and Kaveri Seed Company (up 3.61) defied market sentiment and finished the day as top gainers on the BSE.
320 stocks at 52-week lowsAs
many as 320 stocks, including ILFS Transportation Networks, Cipla, Ashok Leyland, Bharat Forge, JK Tyre, NBCC, ONGC, SAIL and Jindal Steel
Power, hit 52-week lows on the BSE today
However, Muthoot Finance and Linde India featured among the 30 stocks that touched their 52-week highs.
228 stocks hit lower
circuitVakrangee, Shankara Building Products, Kwality and ILFS Transportation Networks featured among the 228 stocks that touched their
lower circuits on BSE, compared with 125 stocks, including Cravatex, Sika Interplant Systems, Sportking India and Creative Castings, which
Realty pack top sectoral loserThe realty pack, with a loss of 3.15 per cent, settled as the top loser among sectoral indices on the BSE
Each sectoral index suffered losses today, with telecom, energy, finance, industrials, bank and capital goods falling over 2 per cent
BSE Oil Gas incurred a minimum loss of 0.74 per cent
Stocks below their 200-DMAV-Guard Industries, Oriental Bank of Commerce, United Spirits, Lupin, PTC India, Hindustan Motors, Power Finance
Corporation, Adani Ports and Kotak Mahindra Bank featured among stocks that traded below their 200-DMAs today
Oversold overbought stocksSun Pharma, Arvind, Punj Lloyd, Jindal Stainless, ILFS Transportation and Quess Corp appeared among the 63
stocks that settled in the oversold zone on the BSE, according to momentum oscillator Relative Strength Index, or RSI
On the other hand, the RSI showed 28 stocks, including Orient Tradelink, GBL Industries, Maestros Electronics, A Infrastructure and Advance
Lifestyles in the overbought zone on the BSE
163 stocks show potential slideMomentum indicator moving average convergence divergence, or MACD, showed bearish crossovers on 163 counters
Among the stocks that saw bullish crossovers were Vedanta, Vedanta, Biocon, Bajaj Finance, Power Grid Corporation, Exide Industries and BHEL
On the other hand, 39 counters, including MOIL, Goldstone Tech, Next Mediaworks, Prajay Engineers and Indo Thai Securities displayed bullish
crossovers.
Nifty outlook"The daily chart showed that the Inside bar pattern that was formed on Friday broke out on the downside today
Nifty has started forming lower top lower bottom on the daily chart, which confirms the downtrend
The weekly chart shows that the index is tumbling down as a follow through of a Dark cloud cover formation in the last week
All these observations suggest that the bears are having an upper hand on the index
In terms of the Fibonacci retracement, the Nifty has so far retraced 50 per cent of the November bounce
Subsequent level on the downside will be the 61.8 per cent retracement mark i.e
The larger picture shows that the Nifty is poised to test the recent low of 10,005," said Gaurav Ratnaparkhi, senior technical analyst of
Sharekhan by BNP Paribas.
