Profit booking pressure was seen in the Indian stock market on Thursday.
highlights
- Profit booking pressure was seen in the Indian stock market on Thursday.
- Nifty IT was the biggest sectoral loser and declined by more than 5.5 percent.
- Midcap and smallcap indices broke their three-session rising streak.
There was pressure of profit booking in the Indian stock market on Thursday, due to which the market momentum got braked. Nifty 50 closed at 25807.20, breaking four consecutive sessions of gains. Sensex closed at 83,674.92 with a fall of 0.66 percent. Nifty Bank also closed at 60739.75 with a slight fall. Fluctuations remained within limited range during market trading. Talking about sectoral indices, most of the indices closed in the red.
Nifty IT biggest sectoral loser
Nifty IT was the biggest sectoral loser and recorded a decline of more than 5.5 per cent, which is the second biggest fall after February 4. Coforge and Tech Mahindra put the most pressure. Tech Mahindra was the worst performing stock of the day. While Bajaj Finance emerged as the top performer.
Read full article
Weakness in midcap and smallcap stocks
Weakness was also seen in midcap and smallcap stocks. Nifty Midcap and Smallcap indices broke their three-session rising streak. The realty sector also remained under pressure and the Nifty Realty index closed with a decline of 1.5 per cent after four sessions of gains. DLF and Anant Raj were the main reasons for this decline.
Profit booking in auto sector also
Profit booking was also seen in the auto sector and Nifty Auto Index broke its three-day rising trend, with Mahindra & Mahindra being the biggest loser.
Talking about investor sentiment, on February 12, foreign portfolio investors (FPIs) made net purchases of Rs 108.42 crore, while domestic institutional investors (DIIs) made net sales of Rs 276.85 crore.
Expert opinion
On the current movement of the stock market, market expert and Harish Jujare of Prithvi Finmart believes that Bank Nifty may be seen continuously outperforming in the coming sessions. He said that the main reason for the slight weakness seen in the market at present is the IT sector. The impact of the sharp fall in IT shares has also been seen on Nifty, but banking shares remain strong.
Talking about technical levels, Harish Jujare said that Nifty has shown recovery from around its 50-day moving average during the recent decline, which can be considered a positive sign. According to him, this indicates that there is support for buying at lower levels in the market.
He further said that the important support level of Nifty for the next trading session will be 25750. If Nifty remains above this level then there can be stability in the market. However, if this level is broken then the weakness may increase further and pressure may be seen. Overall, experts believe that Bank Nifty may remain strong, while the level of 25750 will be very important for Nifty.
related news
end of article
