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Updated on: Wednesday, November 17, 2021, 08:55 AM IST

Trends on SGX Nifty indicate negative opening for indices

Nifty is expected to open negative at 17930 , down by 70 points. 
/Representational image of stock market  | AFP PHOTO / Yoshikazu TSUNO

Nifty is expected to open negative at 17930 , down by 70 points. /Representational image of stock market | AFP PHOTO / Yoshikazu TSUNO

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Trends on SGX Nifty indicate a negative opening for the index in India with a 58-points loss. The Nifty futures were trading at 17,947 on the Singaporean Exchange around 07:30 AM.

Indian markets could open lower following largely negative Asian markets today and despite positive US markets on Tuesday, said Deepak Jasani, Head-Retail Research, HDFC Securities.

Gaurav Udani, CEO & Founder, ThincRedBlu Securities, said, “Nifty is expected to open negative at 17930 , down by 70 points. Since the last few trading sessions Nifty has been facing strong resistance in 18100-18200 range and has support in 17800-17850 range. Traders are suggested not to initiate new long positions till the time Nifty gives a daily close above 18200 with higher than average volumes.“

Mohit Nigam, Head - PMS, Hem Securities said, "After Tuesday’s volatile session, benchmark indices are expected to open on a negative note as suggested by the trends on SGX nifty. US markets closed with a positive note and European markets ended on a flattish note.

"The initial share sale of Go Colors, women’s bottom wear brand, will open for subscription today with the price band of Rs.655 to Rs. 690 per equity share. Rajasthan, Tripura among some other states cut down VAT to reduce fuel prices. On November 16, FIIs sold shares worth Rs 560.67 crore, while DIIs net purchased shares worth Rs 577.34 crore in the Indian equity market. On technical front, the key resistance level for Nifty50 are 18,100 followed by 18,200 and on the downside 17,850 followed by 17,800 can act as strong support."

Nifty closed lower on Nov 16 as investors were concerned about inflation and RBI’s view that equity market valuations remain stretched by most conventional yardsticks in its latest report. In the process Nifty closed below 18000. At close Nifty was down 0.61 percent or 110.2 points at 17,999.2.

Nifty respected the doji formation on the previous day and sold off on Nov 16. 18,102-18,139 is the resistance band now for the Nifty while 17,874-17,906 is the support band. Volumes and advance decline ratio continue to disappoint.

Stocks to watch out for

Stock-specific actions can be witnessed in stocks such as:

Coforge ( as IT firm filed papers with US securities and Exchange Commission for a proposed IPO), and

Ashoka Leyland (the commercial vehicle maker's EV arm Switch Mobility has bagged a contract for the supply and operation of 300 electric buses for Bengaluru Metropolitan Transport Corporation)

US stocks close higher

US stock indexes ended higher Tuesday, after a stronger-than-expected rise in October retail sales and as investors digested results from major retailers. Home Depot and Walmart reported strong results.

Retail sales jumped 1.7 percent in October, the government said, surpassing forecasts for a 1.5 percent rise and logging the biggest gain since March when households received billions in federal stimulus money. Excluding autos, sales rose 1.4 percent. Industrial production, which includes factory, mining and utility output, increased at a seasonally adjusted 1.6 percent in October compared to the previous month. Economists polled by The Wall Street Journal expected a 0.8 percent increase.

IPOs launched so far

Go Fashion, the operator of women's bottom-wear brand Go Colors, would be the fifty-third public issue launched this week, after Tarsons Products. The initial share sale of the company will open for subscription on November 17 and the offer will close on November 22. The closing date has been extended because of the market holiday on November 19 for Gurunanak Jayanti.

The offer price band has been fixed at Rs 655 to Rs 690 per equity share. The public issue comprises a fresh issuance of shares worth Rs 125 crore, and an offer for sale of more than 1.28 crore equity shares by promoters and investors.

Fitch keeps India's sovereign rating unchanged

Fitch Ratings on Tuesday kept India's sovereign rating unchanged at 'BBB-' with a negative outlook, and said that the rating balances a still-strong medium-term growth outlook and external resilience from solid foreign-reserve buffers against high public debt, a weak financial sector and some lagging structural issues. It forecast robust GDP growth of 8.7 per cent in the fiscal year ending March 2022 (FY22) and 10 per cent in FY23 (ending March 2023).

Asian stocks trade mixed

Most Asian stocks dipped Wednesday after robust U.S. economic data lifted Wall Street shares, Treasury yields and the dollar and spurred more calls for tighter monetary policy.

Seven stocks under F&O ban

Seven stocks - BHEL, Indiabulls Housing Finance, IRCTC, NALCO, Punjab National Bank, SAIL and Sun TV Network - are under the F&O ban.

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Published on: Wednesday, November 17, 2021, 08:50 AM IST
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