Ahead of the market: 10 things that will determine stock market action on Friday

The US Indian markets ended in the green on Thursday with tech stocks rallying as the Fed chair and local investors await the Reserve Bank of India’s monetary policy decision on Friday.

The benchmark S&P BSE Sensex rose 809.53 points, or 1.00%, to settle at 81,765.86, while the broader Nifty 50 index closed up 240.95 points, or 1%, at 24,708.40.

Here’s how analysts read the pulse of the market:

Commenting on the day’s proceedings, Geojit Financial Services Chief Investment Strategist Dr. V.K. Vijayakumar said the market experienced a sharp recovery from the day’s lows, closing with strong gains.

“Positive returns from FIIs in India over the past few days in anticipation of an accommodative monetary policy by the RBI have supported the sentiment. Further, the stability in the November services PMI data despite the pick-up in inflation points to stability in business activity,” added Vijayakumar. .

US markets

Wall Street’s major indexes traded near flat on Thursday after hitting all-time closing highs a day earlier, while the Nasdaq hit a new intraday record ahead of key employment data later this week.

Investors are closely watching the release of the monthly jobs report on Friday.

Megacap and growth stocks showed modest gains, with Tesla standing out, up 2.5% after receiving price target upgrades from at least two brokerages.

Meanwhile, cryptocurrency and blockchain-related stocks soared as the world’s largest cryptocurrency Bitcoin broke the $100,000 milestone for the first time.

European stocks

European stocks closed at more than a month highs on Thursday, helped by bank stocks as investors hoped France could pass a new budget after the collapse of Prime Minister Michel Barnier’s government.

The pan-European STOXX 600 ended 0.4% higher, entering its sixth-straight session of advances. France’s CAC 40 hit a three-week high and closed up 0.3%.

Tech View

The Nifty opened on a positive note and saw selling pressure in the first half, said Jatin Gedia from Mira Asset Sharekhan, adding that “the action picked up in the second half, which helped the Nifty close with a gain of 241 points. It has achieved our short-term target of 24,770 and hence we are raising it to 25,125.”

“The support base shifts higher towards 24,330 which is the 40-day exponential moving average. The hourly momentum indicator has triggered a positive crossover from the balance line indicating that the upward move is likely to continue and should be used as a buying opportunity in case of a minor pullback towards the support zone,” added Gedia.

Also Read | Bond yields fall 10 bps on GDP data. What does the market expect?

Most active stocks in terms of turnover

Zomato (Rs 235.19 crore), Reliance Industries (Rs 88.92 crore), HEG (Rs 82.27 crore), TCS (Rs 81.19 crore), Indus Towers (Rs 79.90 crore), Angel One (Rs 78.27 crore) And ITC (Rs 431 crore) was one of the most active stocks on the BSE by value High activity in a counter in terms of terms value can help identify counters with the highest trading turnover in a day.

Most active stocks in terms of volume

Vodafone Idea (Shares traded: 92.06 crore), Zomato (Shares traded: 10.21 crore), Yes Bank (Shares traded: 8.31 crore), JP Power (Shares traded: 6.53 crore), Suzlon Energy (Shares traded: 5.63 crore), Indus Towers (Shares traded: 4.88 crore) and Easy Trip Planners (Shares traded: 4.60 crore) were among the most actively traded stocks on the NSE in terms of volume.

Stocks show interest in buying

Shares of Maharashtra Seamless, Kalpataru Power, Action Construction Equipment, IGL, Angel One, Anand Rathi Wealth and Finolex Cables witnessed strong buying interest from market participants.

52 week high

Over 237 stocks touched their 52-week highs today while 11 stocks slipped to their 52-week lows. Among those hitting their 52-week highs were Anand Rathi Wealth, Zomato, Eclerks Services, Paytm, Wipro, Krishna Institute of Medical Sciences and Tech Mahindra.

Selling pressure is seen in stocks

Large cap names include Vodafone Idea and Oil India. Other stocks that saw significant selling pressure included Graphite India, Cholamandalam Financial Holdings, Amber Enterprises, KEC International and Shree Cements.

The sentiment meter favors the bulls

Market sentiment was bullish. Out of 4,083 stocks traded on BSE on Thursday, 1,814 stocks declined, 2,130 stocks gained while 112 stocks remained unchanged.

Also Read | Jane Street to IIT student Rs. 4.3 crore job offer highlights the inequities of options trading

(Disclaimer: Recommendations, suggestions, opinions and views given by experts are their own. These do not represent the views of Economic Times)