10 key things to know before markets open on Friday

Stock Market on Friday, 10 February 2023: Indian frontline indices S&P BSE Sensex and NSE Nifty50 will resume trading on Friday amid a host of local and global triggers. Zee Business has collated 10 factors that are likely to impact movement tomorrow.

Thursday Market Recap  

Indian frontline indices S&P BSE Sensex and NSE Nifty50 traded in a narrow range on Thursday. Sensex traded within a 400-point range and ended the session at 60,806.22, up 142.43 points or 0.23 per cent while the broader market Nifty50, which traded in 140 point range, closed at 17,893.45, higher by 21.75 points or 0.12 per cent. Banking gauge Nifty Bank traded lackluster, managing a positive closing on the day of weekly expiry. It ended at 41,554.30, up by 16.65 points or 0.04 per cent.

Market breadth was equally split in favour of advances and declines. In the 50-stock Nifty50, 25 ended in the red. The top gainers were Bajaj Finserv, Hindalco Industries, HDFC Life, Asian Paints and Indusind Bank while the top losers were Adani Enterprises, Adani Ports, Hero MotoCorp, Cipla and JSW Steel.

Top Triggers for Friday

1) US Markets: Domestic markets will take cues from US stock market closing on Thursday while keeping a track on Friday morning movement in Dow Futures when they resume trading. Singapore-listed SGX Nifty futures, an early indicator of movement in Nifty50 will also give indications on how Indian benchmark indices move.

Benchmark indices on Wall Street were trading with strength on better earnings by listed companies. Dow 30 was trading at 34,188.40, up 239.43 points or 0.71 per cent while S&P 500 was up ny 29 points or 0.72 per cent at 4,147.64. Nasdaq Composite was 1 per cent or over 100 points higher at 12,029.40.

 Source: NSE

At the time of filing of the story Dow Futures were trading at 34,163.40, up by 214.40 points or 0.63 per cent. SGX Nifty was trading at 17,937.5, up by 7 points or 0.04 per cent.

2) Rupee Vs Dollar: The rupee pared initial losses and settled on a flat note at 82.54 (provisional) against the US dollar on Thursday, supported by a rebound in domestic equities. At the interbank foreign exchange market, the local unit opened at 82.59 against the American currency and touched a low of 82.66 and a high of 82.48 intra-day. It finally settled at 82.54 against the greenback, unchanged from its previous close.

The dollar index, which gauges the greenback's strength against a basket of six currencies, declined 0.36 per cent to 103.03.

"The Indian rupee depreciated against the US dollar amid fund outflows and risk-averse sentiments. However, the loss was limited following the state-run banks' dollar supply following inflows from the issuance of green bonds," said Dilip Parmar, Research Analyst, HDFC Securities. Parmar further noted that the sentiment for the local unit remains weak on the expectation of the dollar outflows from one of the big corporates for repaying debt. PTI

"Rupee continued to remain in a range of 82.50 to 82.66 as dollar index fell to 102.96 from a high of 103.57. Brent oil continued to remain in a small range at USD 85.35 per barrel. Asian currencies were slightly up against the dollar," Anil Kumar Bhansali, Head of Treasury at Finrex Treasury Advisors LLP said.

"As markets remain in a range rupee looks to be in a small range of 82.30 to 82.90 with RBI possibly selling at one end. Oil companies and FPIs seem to be on the sidelines," Bhansali said.

 Source: Comex

3) Q3 Results 2023:  Scores of listed companies announced their December quarter earnings on Thursday. Among them were IRCTC, HPCL, Voltas, Suzlon Energy, IOB, Voltas, Natco Pharma, Kalpataru Power, Devyani International, Hindalco Industries, Zomato and several others.

Several companies will announce their quarterly earnings on Friday. They include ABB, Abbott India, Alkem Lab, Apollo Hospitals, BHEL, Delhivery, Fortis, Indigo Paints, Inox Green, Naukri, OIL, PNC, PB Fintech, Wabag and others. In the Nifty50 pack, Mahindra & Mahindra will declare its December quarter earnings.

4) Stocks in News: Kotak Mahindra Bank hikes interest rates of fixed deposits by up to 0.25 per cent; Pfizer names Meenakshi Nevatia as managing director; Icra said rate hikes will not impact NBFCs' collections and this could impact movement in these stocks; Lupin bags USFDA nod to market generic product in US market. Investors must keep a track of these stocks on Friday.

5) Stocks in Ban: Securities in Ban for trade on 10 February 2023: Ambuja Cements and Indiabulls Housing Finance.

6) FII / DII Action: Foreign institutional investors were net sellers on Thursday and sold equities worth Rs 144 crore while domestic institutional investors Rs 205.25 crore.

7) Bulk Deals: At least 9 companies witnessed bulk deal action today. Among them were Atul Auto, AKG Exim, Jet Freight Logistics, Stampede Capital and others.

8) Most Active Underlying

Source: NSE

 Source: NSE

9) Anil Singhvi Strategy on Nifty, Bank Nifty: Zee Business Managing Editor said that Nifty has support at 17,750-17,800 while resistance at 17,975-18,025. As for Bank Nifty, support is seen at 41,100-41,250 while resistance at 41,950-42,075. Nifty will look to move towards 18,000 if global factors remain favourable, Singhvi said.

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10) Commodity Markets: Dollar movement will remain key to how commodity markets move tomorrow. MCX April futures were trading flat at the time of filing the story at Rs 57,213 per 10 gram, down by Rs 2 from the Wednesday closing price. Meanwhile, March Silver futures were trading at Rs 67,538 per kg, down by Rs 95 or 0.14 per cent.   

Source: MCX

Expert Take

"The Nifty witnessed range bound price action throughout the day and closed with marginal gains for the day. On the hourly charts we can observe that zone of 17790 –17820 where the key hourly moving averages are placed acted as a strong support zone and intraday the Nifty witnessed a sharp pullback from that support zone. On the way up the Nifty has managed to close above the 20-day moving average (17872) which is a sign of strength. The daily momentum indicator has a positive crossover which is a buy signal. Thus, both price and momentum indicator is suggesting further upside in the Index. On the upside the zone of 17972 – 18000 is immediate hurdle zone and once it is crossed we can upside a sharp upside. Until the zone of 17970 - 18000 is not taken out decisively we can expect the consolidation to continue. Range of consolidation from short term perspective is 17350 – 18000." -- Jatin Gedia, Technical Research Analyst, Sharekhan by BNP Paribas

"The frontline index on the weekly expiry day witnessed a muted opening and registered an intraday low at 17779.80 in the initial 30 minutes candle. Nifty gradually inched higher as the day progressed and the buying aggression was witnessed after crossing the resistance around 17,850 levels. Nifty closed the day at 17,893.

Nifty on the daily chart has closed above its 21 EMA, which is a positive sign for the Indian markets in the short term. Technically, Nifty is gathering momentum, reviving bullish hopes for a test of near-term resistance at 18,000 levels. On the lower side, immediate support for the prices is placed at 17,650 levels. A successful closing above 18,000 will indulge a breakout in the index and which may lead the prices towards 18,200 – 18,250 levels." -- Rohan Patil, Technical Analyst, SAMCO Securities

(Disclaimer: The views/suggestions/advises expressed here in this article is solely by investment experts. Zee Business suggests its readers to consult with their investment advisers before making any financial decision.)