Daily Market watch- 4th November

Sun Pharma shares crash after whistleblower email to Sebi

“Market continued its positive movement with BSE Sensex gaining 0.34% to end at an all-time high at 40,302, while NSE Nifty 50 rose 0.43% to end at 11,941. Tech, Metal, Pharma and PSU Banks were major gainers today while Auto and FMCG stocks witnessed profit booking.

Some of the positive factors like decent earnings season so far, better-than-expected festive sales, hopes of stimulus from the government and continued FIIs inflow helped improve sentiments. On the Global front as well – US Market were at all-time high, European and Asian markets over 6-month high on hope of US-China phase 1 trade deal negotiation, strong US jobless data and better than expected China PMI data. While the markets consolidate near its peak, the positive momentum should continue for a while. With absence of any major events, focus would continue to be on the results season with stock specific action likely over the next few days.

Technically Nifty failed to surpass psychological 12000 mark and witnessed some consolidation with bullish bias. It has been forming higher highs – higher lows on weekly scale and supports are gradually shifting higher. Now it has to continue to hold above 11880 levels to witness an up move towards 12000 then 12103 zones while on the downside major support is seen at 11780 zones.”

-By Siddhartha Khemka, Head – Retail Research, Motilal Oswal Financial Services Private Ltd.