Nifty closes flat on weekly expiry; Metals and FMCG stocks shine

Mr. Nandish Shah - Deputy Vice President, HDFC Securities

After sharp rally for the last two days, Nifty consolidated its gains and traded in the narrow range on the weekly expiry day. Nifty finally ended the day with minor gains of 5 points to close at 26177. NSE cash market turnover declined 9% as compared to yesterday.

Within the Nifty basket, Coal India, Shriram Finance, ITC and Ultratech Cement emerged as the key outperformers. In contrast, Infosys, Bharti Airtel, Adani Ports and Sun Pharma came under selling pressure and ended as major laggards.

Sectoral performance was mixed bag. Nifty Media, Metal and FMCG indices led the gains, whereas IT, PSU Bank and Pharma indices declined the most.

The broader market Indices mirrored the performance of Benchmark with Nifty Midcap ending flat and the Nifty Smallcap index rising 0.37%. Market breadth stayed in favour of the bulls for the third straight session, as the BSE advance-decline ratio stood at 1.22, highlighting sustained buying interest in mid- and small-cap segments.

The Indian rupee ended flat for the second straight session on Tuesday, as year-end rebalancing flows offset intraday weakness. Despite this temporary stability, the combination of surging forward premiums, rising bond yields, and thinning liquidity points towards a volatile path ahead.

Short term trend of the Nifty remains positive, with bullish higher-top, higher-bottom formation on the daily chart. Nifty could now extend its up move towards the next resistance levels at 26,202 and 26,330. On the downside, the level of 26,000 is expected to act as a near-term support.

Source : Equity Bulls

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Nifty NSE Sensex BSE HDFCSecurities WeeklyExpiry