Daily Market Update- Equity 25 Jan 2023 | Globe Capital Market LTD.
Daily Market Update- Equity 25 Jan 2023

Benchmark Nifty index settled on a flat note, closed shop at 18118 levels after a lackluster trading session.

Overview and Outlook

Global Market Update

  • US equity markets settled on a flattish note
  • European equity markets too settled on a flat note
  • Asian equity markets are trading mix
  • SGX Nifty is little changed


News highlights from across the globe

  • Asia markets opened on a cautious open, with post-market forecast from Microsoft Corp. damping sentiment further and pushing down US equity futures.
  • Hong Kong and mainland China markets remain closed for the Lunar New Year holiday.
  • Crude price fell 2%


Important news updates from the domestic front

  • Tata Steel/TCS/Tata Power: Tata Trusts, the majority stakeholder in Tata Sons, appointed Siddharth Sharma as the CEO and Aparna Uppaluri as COO, effective April 1, 2023.
  • New Delhi Television: The company appointed Mumbai based education consultant Viral Jagdish Doshi as additional director.
  • Barbeque -Nation Hospitality: Anurag Mittal resigned from the office of chief financial officer of the company, effective Feb. 6, 2023.
  • Rail Vikas Nigam: The company received a contract with project cost of Rs 38.4 crore for provision of automatic block signalling in Arakkonam Junction-Nagari Section of Chennai division under Southern Railway.
  • Coffee Day Enterprises: SEBI imposed a fine of Rs 26 crore against the company for diversion of funds by seven subsidiaries to a company related to promoters.
  • Sonata Software: The company appointed Samir Dhir, the current whole-time director and CEO of the company as MD and CEO, and the current MD Srikant Reddy as executive vice chairman.
  • State Bank of India: United Forum of Bank Unions has called for a two-day nationwide bank strike on Jan. 30 and 31.


Nifty Outlook

Benchmark Nifty index settled on a flat note, closed shop at 18118 levels after a lackluster trading session.

Broader markets underperformed the benchmark as Mid and Small cap index fell 0.6% & 0.4% respectively. Market breadth too was tilted towards the declining side.

Performance on the sectoral front was mix. Auto index was at the top of the tally, gained over 1% followed by IT index that was up 0.77%. On the other hand, PSU bank and Realty index was the worst performer, down 1.36% & 1% respectively.

Going ahead, we reiterate our sideways view on Nifty index till it is trading in 17750-18250 range. Either side break from this range is required for any sustainable move in that direction.


Derivatives Overview & Outlook

Yesterday, again no significant activity was seen in Nifty and Banknifty futures on price as well as on open interest front.

Nifty and Banknifty futures have rolled 50% and 61% of open interest respectively into next contracts so far.

On options front, call writing was seen at multiple strikes along with put writing at 18000 strike and maximum positions are at 18000 PE and 18100 CE.


FII & DII Trading Activity

Yesterday, FIIs sold stocks worth Rs 761 Cr in the cash segment, bought stocks futures worth Rs 1277 Cr and also bought index futures worth Rs 475 Cr. DIIs too were net buyers in the cash segment to the tune of Rs 1145 Cr.


Nifty Futures & Bank Nifty Futures Key Levels

Nifty Futures – Resistances 18220-18300; Supports 18035-17970

Banknifty Futures – Resistances 43000-43250; Supports 42500-42250


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