Ahead of Market: 10 things that will decide stock market action on Tuesday
Here’s how analysts read the market pulse:
“Indian equity markets ended lower as renewed hostilities between the US and Iran reignited concerns over regional stability, with the conflict now entering its fourth month and the Strait of Hormuz remaining closed. The Nifty opened marginally higher but gradually came under sustained selling pressure as hopes of a near-term diplomatic breakthrough faded, reinforcing a cautious risk-off mood across markets,” Ponmudi R, CEO of Enrich Money, an online trading and wealth tech firm, said.
US Markets
Wall Street stocks traded mixed on Monday as optimism over a possible peace deal in the Middle East dissipated, with the United States and Iran trading strikes and oil prices surging.
The tech-focused Nasdaq Composite Index edged lower by 0.1 percent to 26,960.19.
Oil surged on Monday, in line with a recent trend seen when prospects for peace in the Iran war have appeared clouded.
European Markets
European stocks were down marginally on the day, as gains in energy shares were offset by losses in airlines and defence shares.The pan-European STOXX 600 index fell 1.1%.
Tech View
The Nifty continues to decline as it failed to withstand selling pressure at higher levels. On the upside, the index encountered resistance near the 20-day EMA, while on the downside, it slipped below its previous swing low, indicating weakening market structure. Overall sentiment is likely to remain bearish, with the RSI witnessing a bearish crossover, further reinforcing negative momentum. In the short term, the index may drift towards the 23,200 level. On the upside, immediate resistance is placed around 23,500.
Most active stocks in terms of turnover
HDFC Bank (Rs 3570 crore), Wockhardt (Rs 2,650 crore), Infosys (Rs 1,203 crore), Coal India (Rs 2,236 crore), Netweb Technologies (Rs 2,152 crore), TCS (Rs 1,727 crore) and M&M (Rs 1,726 crore) were among the most active stocks on BSE in value terms. Higher activity in a counter in value terms can help identify the counters with highest trading turnovers in the day.
Most active stocks in volume terms
Vodafone Idea (Traded shares: 57.18 crore), JP Power (Traded shares: 50.46 crore), Suzlon (Traded shares: 15.31 crore), YES Bank (Traded shares: 14.19 crore), Ola (Traded shares: 13.78 share), NMDC Steel (Traded shares: 12.54) and ZEE (Traded shares: 9.22) were among the most actively traded stocks in volume terms on BSE.
Stocks showing buying interest
PTC Industries, NMDC Steel, Saregama, Wockhardt, Welspun, Reliance Infra and NMDC were among the stocks that witnessed strong buying interest from market participants.
52-week high
Among the ones which hit their 52 week highs included NMDC Steel, Wockhardt, Laurus Labs, AIA Engineering, Kirloskar Oil and Minda Corp.
Stocks seeing selling pressure
Stocks which witnessed significant selling pressure were JP Power, Finolex Cables, Orient Refractories, Inox Wind, JM Financial, GE T&D India and Natco Pharma.
Sentiment meter favours bears
Out of the 4,549 stocks that traded on the BSE on June 1, Monday, 1,556 stocks witnessed advances, 2,808 saw declines while 185 stocks remained unchanged.
