IGI Logo

Market Update

Nifty : 24,821.10 +140.20 (+0.57%)

Sensex : 81,337.95 +446.93 (+0.55%)

* Equity benchmarks Sensex and Nifty rebounded sharply, recovering nearly 1% from their intraday lows, as global market strength and short covering helped lift domestic indices. The Nifty ended above the 24,800 mark, supported by improved sentiment following strong earnings from Varun Beverages and Asian Paints.

* Sectors that had recently seen heavy selling—such as metals, mid-caps, small caps, realty, oil & gas, and autos—recovered between 1–2%, driven by short covering ahead of the July derivatives expiry. Additionally, bargain hunting emerged as traders awaited key events, including the US Federal Reserve's rate decision and the anticipated US-India trade deal on August 1.

* The Nifty rose 140 points, or 0.6%, to close at 24,821 after hitting an intraday low of 24,598. The Sensex advanced 446 points, or 0.5%, to settle at 81,337, rebounding from a low of 80,575.

* Pharma stocks outperformed, with the Nifty Pharma Index rising 1.4% following better-than-expected quarterly results from Laurus Labs, Torrent Pharma, and Cipla. The advance-decline ratio for Nifty 500 stocks stood at 3:1, highlighting renewed buying interest in mid- and small-cap counters.

* Globally, Asian markets ended mixed, while European markets rose up to 1% after news broke that the US and European Union had reached a tariff agreement, easing concerns over a prolonged trade dispute.

Technical Outlook:

* Nifty index opened on a negative note and immediately dipped to 24600 zones after which the index staged a massive recovery throughout the day and headed towards 24850 zones in the last hour of the session.

* It formed a bullish candle along with a Bullish Engulfing price pattern on daily frame and closed with gains of around 140 points. Now it has to hold above 24750 zones, for an up move towards 25000 then 25100 zones while support can be seen at 24600 then 24442 zones.

Derivative Outlook:

* Nifty future closed positive with gains of 0.54% at 24843 levels. Positive setup seen in Tata Chemical, VBL, Amber Enterprises, Jio Financial, Torrent Pharma, DR Reddy, PI Indiustries, Syngene, Biocon and Exide Industries while weakness in IEX, Petronet, Kfintech, Crompton, SBI Card, Poonawalla Fincorp, NBCC, PNB Housing, Torrent Power and Bandhan Bank.

* On option front, Maximum Call OI is at 25000 then 25200 strike while Maximum Put OI is at 24800 then 24700 strike. Call writing is seen at 25150 then 25800 strike while Put writing is seen at 24800 then 24700 strike. Option data suggests a broader trading range in between 24300 to 25300 zones while an immediate range between 24600 to 25100 levels.

Global Market Update

* European Market - European stocks gained as the US and the European Union agreed to a tariff deal, easing fears about a prolonged trade war. The pact, which will see the bloc face 15% tariffs on most of its exports including autos. Both France and Germany Index rose 1% and 0.5% respectively.

* Asian Market - Asian equities extended declines to a third day, poised for their longest losing streak in nearly two months, ahead of monetary policy decisions in Japan and the US. Japan Index declined by 0.8%.

* US Data - Jolts Job Opening and Consumer Confidence.

* Commodity - Oil gain marginally to above $70/bbl after President Donald Trump pushed for Russia to reach a swift truce with Ukraine or face potential economic penalties, raising concerns crude supplies from the OPEC+ producer could be disrupted.

For More Research Reports : Click Here 

For More Motilal Oswal Securities Ltd Disclaimer
http://www.motilaloswal.com/MOSLdisclaimer/disclaimer.html
SEBI Registration number is INH000000412