Daily Markets - May 3, 2021 - Mr. Deepak Jasani, Head of Retail Research, HDFC Securities

Indian benchmark equity indices recovered from the early losses on May 03 and ended on flat note in a highly volatile trade. The Nifty opened lower in line with other Asian markets and post the unexciting performance of BJP in the recently concluded state elections but rose in early trade. Post 1400 Hrs another sharp rise followed. At close, the Nifty was up 3.10 points or 0.02% at 14634.20.

Volumes on the NSE were in line with recent averages. Among sectors, Metal and FMCG were the main gainers while Banks, Media and Realty were the main losers.

Asian share markets started off slow on Monday, as holidays in China and Japan thinned volumes. Later Asian stock markets fell on Monday, as rising coronavirus cases in the region raised concerns over more curbs and economic pain, while renewed tensions with North Korea knocked down South Korea's won by 1%. European stocks drifted higher on Monday after strong euro zone factory activity and German retail sales data highlighted a quick rebound in economic growth. A survey showed euro zone factory activity growth reached a record high last month, while German retail sales posted their biggest year-on-year increase in March since the start of the COVID-19 pandemic.

Nifty bounced up smartly from the intra day lows going against the Asian negative mood. 14694-14747 is the next resistance band for the Nifty while 14493 is the support level. Broader market continues to do well as is clear from the positive advance decline ratio while frontline stocks remain volatile based on institutional flows.

Source : Equity Bulls

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