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Nifty Faces Pressure Ahead of New Journey,Can Nifty Overcome Pressure for its Next Move?


Yesterday’s Pick

BAJFINANCE 27JUN24 7250 CE Rs 12,500 ( Per 5 Lot)
SIEMENS 27JUN24 7250 CE Rs 52,500 ( Per 5 Lot)

Nifty Technical View

The Nifty Index is demonstrating strength on both daily and weekly charts, consistently forming higher highs and higher lows. Currently, it has robust support around the 23,250 level. If the index fails to maintain this support, it could decline further to the next support level at 23,000. On the upside, the Nifty faces significant resistance around the 23,500 level, indicated by substantial Open Interest in Call options at that point. Should Nifty manage to close above 23,500, it has the potential to rise further towards the 23,700 level.

Indian Vix

Volatility continues to decrease as the India VIX, also known as the fear index, closed 6.26 percent lower on an intraday basis, settling at 13.48.

FII And DII Data

Foreign institutional investors (FIIs/FPIs) Sold Indian stocks worth Rs 3,033.00 crore. Domestic institutional investors (DIIs) were also net sellers, sold Indian stocks valued at Rs 553.88 crore during the same period.

Put Call Ratio

The Nifty Put-Call Ratio (PCR), which gauges market sentiment, has moderately improved to 1.07. A PCR above 0.7 or exceeding 1 typically signals bullish sentiment, while a PCR below 0.7 or approaching 0.5 indicates a bearish sentiment.

Stocks in the news

Ambuja Cements:
Ambuja Cements, a company under the Adani group, announced on Thursday that it is acquiring Penna Cement Industries Ltd (PCIL) for an enterprise value of ₹10,422 crore. A binding agreement has been signed for this acquisition, which will add 14 million tonnes per annum (MTPA) to the Adani group’s capacity, bringing their total capacity to 89 MTPA. Ambuja will acquire 100% of PCIL’s shares from the current promoter group, P Pratap Reddy and his family.

Nifty and Bank Nifty Support and Resistance level

Nifty

Resistance 23,410, 23,500, and 23,645
Support based 23,265, 23,205, and 23,060


BankNifty

Resistance 50,185, 50,480, and 51,015
Support based 49,650, 49,405, and 48,870

Index Future levels

Nifty Futures Sell below 23400. The suggested targets for this are 23200 and 23,100, with a stop loss set at 23,650.

Bank Nifty future sell below 49,900 index is expected to see down side levels of 49600 and 49400 and level 50,200 will act as a stop loss.

Fundamental Pick : AETHER

Buy at ₹860, target ₹971, stop loss ₹827.

Aether Industries Limited, established in 2013, is a leading specialty chemical manufacturer in India. Its products are used in various sectors, including Pharmaceuticals, Agrochemicals, Specialty Electronic Chemicals, Material Sciences, and High-Performance Photography. The company operates two sites in Surat, Gujarat, with manufacturing facilities spanning 3,500 sq. m and 10,500 sq. m, having an installed capacity of 6,096 MT and 13,140 MT respectively. Aether Industries is the sole Indian manufacturer of 4MEP, MMBC, T2E, OTBN, NODG, DVL, and Bifenthrin Alcohol, and it is the world’s largest producer of 4MEP, T2E, NODG, and HEEP by volume. The company holds multiple certifications, including ISO 9001:2015, ISO 14001:2015, ISO 45001:2018, ISMS 27001:2013, and Indian GMP. It has a dedicated R&D team of 141 scientists and engineers, with 81 holding PhDs or Master’s degrees.

Aether ventured into CRAMS (contract research and manufacturing services) in 2017, gaining expertise in contract research, pilot scale-up services, contract manufacturing, FTE services, technology development, and process development and optimization. In 2020, it expanded its pilot plant at Manufacturing Facility 1 and began constructing a third manufacturing facility in 2021. The company aims to start construction of a fourth facility by the end of Fiscal 2022.
Foreign Institutions increased their holdings in Aether Industries Ltd from 1.98% to 2.22% in the March 2024 quarter. Similarly, Mutual Funds raised their holdings slightly from 11.07% to 11.10%. Promoter holdings remained unchanged at 81.79% during this period. Aether Industries, a specialty chemicals manufacturer, will resume 75% of its capacity operations at Manufacturing Facility II after the Gujarat Pollution Control Board lifted a closure order issued due to a fire accident. Following this news, the company’s shares rose by over 3%.

Happy Trading!

Commodity Samachar
Learn and Trade with Ease

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