Stock market shows mixed performance as the week begins
Oct 23, 2023
Mumbai (Maharashtra) [Indian], October 23 : The stock indices embarked on a mixed journey as the trading week began, starting in the red but briefly touching the green before succumbing to losses at the time of writing this article.
The Sensex began the session with a fall of 178.66 points, standing at 65,216.98, while the Nifty was down by 67.70 points, closing at 19,481.00 as this report was being compiled. Nifty companies experienced 43 declines and only 7 advances.
Among the top gainers of the day were Dr Reddy's, M&M, ICICI Bank, Bajaj Finance, and Power Grid. However, Grasim, Tata Steel, Adani Enterprises, Kotak Bank, and LTIMindtree were among the top losers in today's trading session.
Varun Aggarwal, founder and managing director, Profit Idea, said, "Banking, Petrochemicals, IT, Pharma, FMCG, Media & Metal sectors are looking good. We remain biased towards the Indian Economy. Expect India to outperform globally. Open Interest (OI) data has strong 19500 support. Broader range is 19200-20000. Risk-defined bullish strategies are best for traders and investors should continue to pick quality stocks on dips".
Despite global tensions and concerns, Nifty opened flat. Various sectors, including banking, petrochemicals, IT, pharma, FMCG, media, and metals, have shown promise in today's trading. The experts remain optimistic about the Indian economy, anticipating it to outperform the global market.
"Medium-term target for Nifty remains intact at 20466. Despite all odds, India's consumption story will play. Foreign institutional investors (FII), Domestic Institutional investors (DII) and mutual funds (MF) are seeing good opportunities in India and fund flows are expected to be high. Mid and small cap ratio remains healthy and all dips are good for medium to long term investors", said Aggarwal.
The open interest (OI) data indicates robust support at the 19,500 level. The broader trading range is expected to be between 19,200 and 20,000. This situation encourages traders to employ risk-defined bullish strategies, while investors are advised to continue selecting high-quality stocks during market dips.
The medium-term target for Nifty is still set at 20,466. Despite facing various challenges, the consumption story in India is projected to thrive. FIIs, DIIs, and MFs are reportedly identifying significant opportunities in India, and fund flows into the country are anticipated to increase.
Additionally, the mid and small-cap ratio remains healthy, indicating that market dips are opportunities for medium to long-term investors.
It remains to be seen how the markets will respond in the coming days and whether this mixed trend will continue.
