Market Commentary

Daily Market Commentary - Jan 12, 2022 - Bonanza Portfolio

Posted On : 2022-01-12 18:26:33( TIMEZONE : IST )

Daily Market Commentary - Jan 12, 2022 - Bonanza Portfolio

Mr Vishal Wagh, Research Head - Bonanza Portfolio

Nifty continues to fly northwards and manages to close above 18,200 as bulls continued the momentum on Dalal street. Among sectors, Metal, Power, Auto, Oil & Gas and Realty up 1-2 percent, while IT and Pharma indices ended flat. BSE midcap and smallcap indices were up 0.7-1 percent. Both the indices closed at 18,212 and 61,150 respectively.

The index has once again given a strong close after a good gap-up opening. Strong support now lies near 18,080 for tomorrow's weekly expiry. Going ahead 17,940 -18,000 will be good short-term support for upcoming trading sessions and on the upside 18,340 will act as new immediate resistance after 18200. The structure of the index is in favor of bulls. Market breadth has remained at 2:1 with 35 stocks on the advancing side & 15 stocks on the declining side.

Globally, sentiments were positive ahead of the release of US inflation data as the Fed Chair's testimony eased inflationary worries. Investor sentiments were boosted as the world bank increased the growth forecast for India to 8.7% for FY23 from its earlier prediction of 7.5%. This can be attributed to a resurgence in the private CAPEX cycle. Now, all eyes are set on the industrial and retail inflation data that will be out later in the day. Result updates of major IT firms will determine the momentum of the week ahead.

M&M, Bharti Airtel, Reliance Industries, IndusInd Bank, and ONGC were the top Nifty gainers. Losers were Titan, TCS, Shree Cements, Britannia Industries, and Cipla.

Source : Equity Bulls


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