NIFTY50

After a strong run-up from the end of March, starting from levels of 16,900, the Nifty has had a superb rally, nearly touching the 20,000 level in mid-July. Post that, the Nifty has been on a decline over the last two weeks, falling by 0.66% this week to close at 19,517.

This week, the Nifty opened on a positive note, rising 0.55% in Monday’s trade. However, it saw a sharp decline over the next three days with a marginal recovery on Friday, where it managed to close 0.7% higher than the previous day. A correction like this is healthy for the markets in the long run.

For the next week, the immediate support level stands at 19,150. If this level is broken, we may see a further downside in the upcoming weeks. On the other hand, if this correction move has been completed, the Nifty can bounce back to levels of 19,800 next week. The Nifty’s performance in the coming week will give a clearer picture of whether it may fall further or move towards touching the magical figure of 20,000.

Nifty50 Weekly Chart

BANK NIFTY

Banknifty has also seen a correction, similar to Nifty, over the last two weeks. This week, Banknifty fell by 1.29% to close at 44,879. During the past week, Banknifty experienced sharp falls on Wednesday and Thursday, dropping more than 1% on each of these days. However, Friday showed a slight recovery, gaining 0.82% over the previous day.

After the fall in the last two weeks, it remains to be seen whether Banknifty will continue its decline in the coming week, or if it will once again attempt to cross its resistance level of 46,000. On the lower side, it has support at 43,600, and breaking this level will lead to another downward move. Otherwise, it may recover from the losses of the previous week and surpass the levels of 45,550 by the end of the coming week.

Bank Nifty Weekly Chart

Top Performing Sector of the Week

Nifty IT Bank

Major gainer from this index include 

• Tech Mahindra – up by 7.7%
• LTTS – up by 5.0%
• Coforge – up by 4.6%
• HCL Technologies – up by 3.7%

Nifty IT Index Weekly Chart

Worst Performing Sector of the Week

Nifty Realty

Major losers from this sector include

• Godrej Properties – down by 12.3%
• Macrotech Developers (Lodha) – down by 5.9%
• Sobha – down by 5.2%
• DLF – down by 5%

Nifty Realty Weekly Chart

Important News

• SBI report highest ever quarterly revenues at Rs 132,332.8 crore and highest ever quarterly profits at Rs 18, 536.8 crore in Q1FY24. (Consolidated basis)
• M&M posts a 21.2% YoY growth in revenues at Rs 34, 698.7 crore and net profit YoY growth of 59.8% at Rs 3,508.4 crore in Q1FY24
• Cholamandalam Investment and Finance to raise Rs 4,000 crore via QIP in September
• ICICI Bank gets RBI nod to increase up to 4% stake in subsidiary ICICI Lombard
• ITC Hotels listing likely in 2024, company board to take decision on August 14
• Rs 10,710 crore-worth bulk, block deals take place this week led by Vedanta with the largest share followed by DLF and Unichem Laboratories.

 

ABOUT THE AUTHOR

Ketan Sonalkar (SEBI Rgn No INA000011255 )

Ketan Sonalkar is a certified SEBI registered investment advisor and head of research at Univest. He is one of the finest financial trainers, with a track record of having trained more than 2000 people in offline and online models. He serves as a consultant advisor to leading fintech and financial data firms. He has over 15 years of working experience in the finance field. He runs Advisory Services for Direct Equities and Personal Finance Transformation.

Note – This channel is for educational and training purpose only & any stock mentioned here should not be taken as a tip/recommendation/advice

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