Markets snap three-day winning streak: NIFTY50 consolidates around 22,000 on selling in IT, banking shares
Upstox
2 min read • Updated: March 26, 2024, 6:09 PM
Summary
After opening lower, the NIFTY50 regained support at its 50-day moving average and moved higher. However, the index still faces resistance around the 22,100 level, which witnessed an increase in call option contracts. According to options data, traders expect the NIFTY50 to trade between 21,800 and 22,300 during the holiday-shortened week.
Markets remained subdued and started the truncated week with the range bound price action. The NIFTY50 lost 0.4% and ended Tuesday's session at 22,004, while the SENSEX dropped 0.5% and closed at 72,470.
The broader markets outperformed the benchmark indices. The NIFTY Midcap 100 gained 1%, and the Smallcap 100 index rose 0.4%.
-
Supporting sectors: Real-Estate (+1.5%), Oil & Gas (+0.7%) and Metal (+0.3%) advanced the most.
-
Selling pressure: Media (-1.6%), IT (-0.6%) and Banks (-0.5%) declined the most.
The NIFTY50 broadly consolidated within a narrow range of 100 points. This sideways movement is likely due to weakness in both the heavyweights IT and banking stocks. As we near the monthly expiry of the F&O contracts, experts believe that the NIFTY50 is consolidating between 22,200 and 21,800. A breakout or breakdown above or below this range will signal the market’s next move.
Key highlights of the day:
🛬Hindustan Aeronautics gained over 4% after winning an export order for two commuter aircraft worth ₹194 crore from the government of Guyana.
🔥Adani Ports (+1.8%) was in focus after the company acquired Odisha’s Gopalpur port from the Shapoorji Pallonji Group and Orissa Stevedores for ₹3,080 crore.
🚀Life insurance stocks were in focus after the regulator IRDAI decided to retain the existing rules on surrender value of policies. The surrender value is the payout that insurance companies make to policyholders in case of termination before tenure. Shares of HDFC Life and ICICI Prudential gained 0.6% and 2.8% respectively.
Top traded futures contracts
Top traded stock options contracts
4 trading insights from NIFTY 200🔍
📉Open = High (Bear power): N/A
📈Open = Low (Bull power): Dr. Lal PathLabs, Alkem Laboratories, ICICI Prudential, Astral NTPC and Bajaj Finserv
🏗️Fresh 52 week-high: Torrent Power, Interglobe Aviation (Indigo), Zomato, Indus Towers and Avenue Supermarts (D-Mart)
⚠️Fresh 52 week-low: Hindustan Unilever
And that's it for today's F&O recap! Get the full scoop on market trends and curated scans at https://pro.upstox.com/
See you tomorrow!