Planning for a Monday in NEW DELHI – A snapshot of a market. 


Domestic equity markets ended a volatile week on a negative note. Selling in auto, FMCG, pharma and IT stocks hurt the market sentiments, while realty stocks ended in the black.

Despite global concerns, markets are showing strong signs of resilience. However, a lot will D-St action would depend on the global and domestic cues.

Here’s how analysts read the market pulse:-

Market analyst Chandan Taparia said that while small-bodied bearish candles were made on weekly and daily scales, a follow up was missing on either side. Nifty50, he said, was stuck in a broader trading range of 17,000-17,400 for the last six sessions and that hold above 17,100 can send it towards 17,350 and 17,500 levels.

That said, here’s a look at what some of the key indicators are suggesting for Monday’s action:

S&P 500 rises as financials gain with Treasury yields

The S&P 500 rose on Friday, with financial shares gaining as the benchmark Treasury yield jumped to its highest in nearly three years and offset declines in tech and other big growth names.

The Dow was also higher, while the Nasdaq was down on the day.

The S&P 500 financials sector was up about 1% and gave the S&P 500 its biggest boost, while technology was down 0.4% and put the most pressure on the benchmark index.

Investors are assessing how aggressive the Federal Reserve will be as it tightens policy after Fed Chair Jerome Powell this week said that the central bank needed to move “expeditiously” to combat high inflation and raised the possibility of a 50-basis-point hike in rates in May.

European stocks close slightly higheruropean markets closed slightly higher on Friday, as investors continued to monitor the war in Ukraine and assess the outlook for global monetary policy. The pan-European STOXX 600 index also inched up 0.11%, but was down on the week.

Tech View: Bullish candleNifty50 on Friday fell for the third straight day and closed below its 50-day moving average. The index formed a bearish candle on the daily chart, with a lower wick, reflecting the support that the NSE barometer took intraday near its 200-day moving average.

F&O: look for stock specific tradesWe started the week on a flat note and have consolidated within a range throughout the week, said Ruchit Jain, Lead Research, “Until Nifty gives a breakout from this range, traders should look for stock specific trades where better opportunities are seen.”

Stocks showing bullish biasMomentum indicator Moving Average Convergence Divergence (MACD) showed bullish trade setup on the counters of NCL India, Shyam Century Ferro, Supreme Engineering, Kalpataru Power, Praxis Home Retail and Universus Photo Imagings.

The MACD is known for signalling trend reversals in traded securities or indices. When the MACD crosses above the signal line, it gives a bullish signal, indicating that the price of the security may see an upward movement and vice versa.

Stocks signalling weakness aheadThe MACD showed bearish signs on the counters of Bajaj Hindusthan Sugar, Cipla, Birla Cables, Ruchi Soya Industries, Mangalam Global, Wonderla Holidays, Zuari Global and Page Industries. A bearish crossover on the MACD on these counters indicated that they had just begun their downward journey.

Most active stocks in value termsReliance Industries (Rs 1,704 crore), HDFC Bank (Rs 1,171 crore), JSW Steel (Rs 1,160 crore), ICICI Bank (Rs 1,069 crore), Tata Steel (Rs 936 crore), HDFC (Rs 786 crore) and ITC (Rs 739 crore) were among the most active stocks on Dalal Street in value terms. Higher activity on a counter in value terms can help identify the counters with the highest trading turnovers in the day.

Most active stocks in volume termsITC (Shares traded: 2.92 crore), JSW Steel (Shares traded: 1.61 crore), ICICI Bank (Shares traded: 1.52 crore), Tata Motors (Shares traded: 1.51 crore), ONGC (Shares traded: 1.36 crore), SBI (Shares traded: 1.15 crore) and Hindalco (Shares traded: 1.11 crore) were among the most traded stocks in the session on NSE.

Stocks showing buying interestTata Elxsi, Lemon Tree Hotels, Inox Leisure, Supreme Petrochem, Indian Hotels, Credit Access Gramin and Adani Total Gas witnessed strong buying interest from market participants as they scaled their fresh 52-week highs, signalling bullish sentiment.

Stocks seeing selling pressureCastrol India and Max Financial Services witnessed strong selling pressure and hit their 52-week lows, signaling bearish sentiment on the counters.

Sentiment meter favours bearsOverall, market breadth favoured losers as 1,256 stocks ended in the green, while 2,158 names settled with cuts.