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Investors on Edge as Nifty, Bank Nifty Swing Wildly


Yesterday’s Pick

BANKNIFTY 31 JUL 51500CE 9000/-(10 LOT)
VOLTAS 29AUG24 1520 CE Rs 21,000 (Per 5 Lot)
DLF FUT Rs 24,750 (Per 5 Lot)
MAZDOCK Rs 56,200 (200 Quantity)
KNRCON Rs 600 (200 Quantity)
LT 29AUG24 3750 CE Rs 9,750 (Per 5 Lot)
BERGEPAINT CASH Rs 6,400 (200 Quantity)

Nifty Technical View

The Nifty50 index continued its upward trend for the third straight session. However, it formed a DOJI candlestick pattern, signaling uncertainty in the market between buyers (bulls) and sellers (bears). The index is approaching the significant psychological resistance level of 25,000, which will be difficult to surpass. On the downside, immediate support is found at 24,800, with an additional support level at 24,660.

FII And DII Data

Foreign institutional investors (FIIs/FPIs) sold Indian stocks worth Rs 5,598.64 crore, while domestic institutional investors (DIIs) purchased Indian stocks worth Rs 5,565.10 crore during the same period.

Put Call Ratio:

The Nifty Put-Call ratio (PCR), which reflects market sentiment, dropped to 1.091 on July 29 from 1.14 in the previous session. Typically, a higher PCR, or a ratio exceeding 0.7 or 1, indicates that traders are selling more Put options than Call options, generally signaling a bullish sentiment in the market. Conversely, if the ratio falls below 0.7 or approaches 0.5, it suggests that selling in Call options is higher than in Put options, indicating a bearish market sentiment.

Stocks in the news

IOC:
On July 30, Indian Oil Corporation Ltd (IOC) reported a consolidated net profit of Rs 3,722.63 crore for the first quarter of the current financial year, marking a 75 percent decline from the same period last year. The company had posted a profit of Rs 14,735.30 crore in the year-ago period. This significant drop in profits is attributed to low gross refining margins (GRMs). Sequentially, the net profit decreased by 32 percent, as the company had reported a net profit of Rs 5,487.92 crore in the quarter ending March 31. Revenue for the first quarter of FY25 declined by nearly three percent to Rs 2.19 lakh crore compared to the previous year. Earnings before interest, tax, depreciation, and amortisation (EBITDA) fell by 55 percent from last year to Rs 11,024.51 crore.

Coal India:
Coal India is expected to report a decline in net profit for the April-June quarter, primarily due to reduced eAuction premiums, which are a result of lower global coal prices and sufficient domestic production. According to Bloomberg estimates, Coal India’s net profit is projected to be Rs 5,436.1 crore, reflecting a 40 percent decrease quarter-on-quarter (QoQ) and a 2 percent decline year-on-year (YoY). Revenue for the period is anticipated to be Rs 36,792 crore, marking a 2 percent increase YoY but a 4 percent decrease QoQ. EBITDA is forecasted to be Rs 6,807 crore, down 40 percent QoQ and 1.3 percent YoY. During the quarter, Coal India’s production rose by 7.9 percent YoY to 189.3 million tons, and dispatches increased by 5.2 percent YoY to 196.6 million tons. Despite the lower e-auction premiums, higher overall volumes may partially offset revenue losses. The company plans to sell 15 percent to 20 percent of its total volume through e-auction, with the remaining 80 percent secured through the Fuel Supply Agreement (FSA) route, thus reducing its reliance on e-auction premiums.

Nifty and Bank Nifty Support and Resistance level

Nifty :

Resistance 24,960, 25,010, and 25,095
Support based 24,770, 24,680, and 24,645


BankNifty:

Resistance 51,880, 52,300, and 52,500
Support based 51,205, 50,930, and 50,490

Index Future levels

Nifty Futures Sell below 24900 The suggested targets for this are 24,700 and 24600 with the stop loss set at 25,250.

Bank Nifty Future sell below 51,200 index is expected to see down side levels of 51900 and 50,700 and level 51,450 will act as a stop loss.

Momentum Pick: JSW Energy

Buy at ₹716| Target price: ₹750 |Stop Loss:₹ 698

JSW Energy Ltd is a prominent Indian power company listed on the National Stock Exchange of India. As a wholly-owned subsidiary of the JSW Group, it focuses on the generation and sale of electricity. The company’s operations encompass power generation, transmission, and trading, as well as domestic and international acquisitions and the construction of new power assets. JSW Energy utilizes a diverse range of fuel sources, including coal, hydro, lignite, and renewable energy. It boasts a portfolio of power plants located both in India and globally. Additionally, the company provides engineering, procurement, and construction (EPC) services, alongside offering innovative financing solutions. Committed to delivering reliable and affordable energy, JSW Energy also emphasizes sustainability. The company is recognized for its dedication to environmental protection and corporate social responsibility.

In Q1 2024-2025, JSW Energy Ltd’s revenue increased by 1.03% compared to the same period last year, reaching ₹3,046.45 crore. On a quarterly basis, the company’s revenue grew by 5.55% over the last three months. JSW Energy Ltd’s net profit saw a significant rise of 79.99% compared to the same period last year, amounting to ₹521.76 crore. Over the last three months, the company experienced a 48.51% increase in net profits. The net profit margin for JSW Energy Ltd also improved, jumping 78.15% from the same period last year to 17.13% in Q1 2024-2025. On a quarterly basis, the net profit margin grew by 40.69% over the last three months.

Happy Trading!

Commodity Samachar

Learn and Trade with Ease

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