Daily Market Wrap - Aug 5, 2021 - Mr. Deepak Jasani, Head of Retail Research, HDFC Securities

Indian benchmark indices closed mildly higher on Aug 05 for the third consecutive day amidst mixed global cues and profit taking in broader markets. Nifty opened mildly higher, fell in the first 20 minutes of trade, recovered ground and went into positive territory and later gave up some ground to close almost at the opening levels. At close the Nifty was up 0.22% or 35.8 points to close at 16294.6.

Volumes were in line with recent averages as focus shifted to telecom and metal stocks, the two main gainers while Realty and Bank indices fell the most.

Asian shares mostly held onto this week's gains on Thursday, despite hawkish remarks from a senior official at the U.S. Federal Reserve. European stocks were flat to slightly higher on Thursday as investors digested a slew of mixed earnings updates and awaited a key monetary policy update from the Bank of England for direction.

Nifty made a classic doji after a rise on Aug 05, suggesting indecision at higher levels. Either one or two up gaps made in the course of journey from 15885 may come in for filling over the next few sessions. Advance decline ratio was very bad in the morning session, but improved a bit towards the end to look better than the previous day, though very much in the negative. 16176-16349 could be the trading band for the Nifty in the next 1-2 sessions.

Source : Equity Bulls

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