FINBLAB RESEARCH: INDIAN STOCK MARKET WEEKLY REVIEW

It was a week of volatility as far as Indian Stock Markets are concern. Handsome gains in the first couple of days of the week followed by a big correction and then a big positive move towards the end of the week.

All sorts of data whether it is (1) auto sales numbers for the month of March, (2) US-China Trade War, and (3) RBI Monetary Policy outlook; keeps the benchmark indices volatile all through the week.

On a weekly basis, the BSE Sensex gained 658 points while the Nifty 50 index gained 217 points. Here is the Indian Stock Market Weekly Review (2 Apr 2018 to 6 Apr 2018) by Finblab.

2-APR-2018

• It was just the perfect start for the Indian Stock Markets in the new financial year, which is FY 2018-19. The BSE Sensex rallying more than 280 points while the Nifty 50 reclaimed 10,200 marks towards the end of the trade.
• Opening after long holidays and not so favourable news flow from the domestic as well as the international front, nervousness was there before the start of the vest first session of FY 2018-19, but thanks to the robust auto sales numbers which kept the momentum going for Indian equity markets all through the day.
• The BSE Sensex reclaimed 33K and closed 287 points higher at 33,255 while the Nifty 50 reclaimed its 200-DMA placed at 10,182. The Nifty index closed 98 points higher at 10,212.

3-APR-2018

• It was the second consecutive day when the Indian Stock Markets ended in green, again thanks to the encouraging auto sales numbers for the month of March; but the immediate trigger for the equity markets would the outlook of the RBI Monetary Policy which will be held on 4th and 5th of April, 2018.
• The BSE Sensex today gains 115 points and closed at 33371 while the Nifty 50 up by 33 points to close at 10245.

4-APR-2018

• It was a highly volatile session for the Indian Equity Markets. Open on a positive note and up more than 100 points in the morning trade, both the Sensex and Nifty fell heavily in the afternoon session because of the US-China Trade War.
• Benchmark indices fell harshly in the afternoon trade after China revealed new retaliation plan for US tariffs. China has announced new tariffs on 106 US products, which include cars, soybeans, and whiskey. Earlier, The US government had announced import duties on Chinese imports (for more than 1300 products) including high-value products such as machine tools and medical equipment.
• The BSE Sensex lost by 352 points and closed at 33019 while the NSE Nifty fell by 117 points and closed at 10128.

5-APR-2018

• Losing more than 350 points in the Wednesday session, bulls put up a strong show on Thursday fuelled by the formation of long positions and some short coverings.
• After a gap-up opening on Thursday’s trade, bulls managed to push the benchmark indices higher by over 550 points on the Sensex led by banks, after the Reserve Bank of India (RBI) keeps the leading rates unchanged and guided for lower inflation trajectory going forward.
• The BSE Sensex ended 578 points higher at 33,597 and the Nifty 50 up 197 points to close at 10325.

6-APR-2018

• Benchmark indices ended the range bound session on a flat note Friday. The 30-share BSE Sensex was up 30 points at 33,627 and the 50-share NSE Nifty rose 6 points to 10,332.

Indian Stock Market Weekly Review – A Week Gone By

Future Outlook –

After correcting 10% from its all-time highs (NIFTY 11172 on 29th Jan 2018) and low of 9952on 23th Mar 2018, the Nifty bounced back handsomely from those levels and finally managed to close above its 200 DEMA.

RBI’s Monetary Policy outlook for the lower inflation trajectory going forward (though it keeps rates unchanged in its meeting ended on 5th April 2018) has helped the indices posted a biggest one-day gain in last 2 years and it is likely to keep momentum for the time being. But the big trigger that the market is waiting for is the Q4 numbers which will start coming from the 2nd week of April.

Looking at the current scenario it is likely that consolidation to continue at least for a couple of weeks while on the lower side it can find support around 10125, as far as Nifty is concern.

Also Read –

1) Finblab’s Valuepick for of the month of April – RUCHIRA PAPERS LIMITED

2) Finblab’s March ’18 Valuepick BALKRISHNA INDUSTRIES LIMITED (18.16% returns in just 1 month)

Disclaimer: The contents and data presented here are just for your information & personal use only. While much effort is made to provide the information, I ( Vishal Dalwadi ) or “Fin Blab” do not guarantee the accuracy, correctness, completeness or reliability of any information or data displayed herein and shall not be held responsible.