Ahead of Market: 10 things that will decide stock market action on Tuesday

The Indian stock market closed in the green on Monday, with Sensex and Nifty finding some relief after recording losses for eight straight weeks, the longest in 25 years.

Sensex gained around 473 points to close at 72,382 while Nifty 50 rose around 134 points to end the session at 22,556. Broader markets also recorded gains, with Nifty Smallcap 100 and Nifty Midcap 100 indices rising up to 0.7%.

.Also read | Why did market rise on Monday?


Here's how analysts read the market pulse

Markets staged a recovery, supported by softer-than-expected US jobs data and a moderation in crude oil prices, providing some relief to investors assessing the near-term interest rate outlook, said Vinod Nair, Head of Research, Geojit Investments. He added that the disconnect between underlying economic growth and market performance has led participants to increasingly price in elevated crude oil prices, higher bond yields, and currency-related risks.

“Attention is now shifting to the RBI policy decision and the upcoming earnings season, with a 25-bps rate hike already largely priced into market expectations. The market is nearing an important juncture; a rebound is likely; however, the current risk-off sentiment may tempt investors to book profits until a fresh catalyst emerges,” according to the analyst.

US stocks

The benchmark S&P 500 rose and the Nasdaq reached all-time highs on Monday as most megacap and growth stocks advanced, though risk sentiment remained in check as Treasury yields held near multi-year highs.

Heavyweight tech stocks took the lead in early trading, with Nvidia rising 1.1%, hovering close to its record high hit in the previous session. Meta Platforms, Microsoft and Tesla all added more than 1%.

Seven of the 11 S&P 500 sectors were trading higher, with communication services and utilities leading gains.

European markets

Concerns over France's fiscal position pushed the euro to a 17-month low and weighed on French assets. Europe's pan-regional STOXX 600 index edged up 0.15%, although Paris shares fell about 1.1% to six-month lows.
Also read: Market crash wipes out Rs 26 lakh cr in 8 weeks! Why soaring bond yields may hurt Sensex, Nifty more than elevated oil prices

Most active stocks in terms of turnover

HDFC Bank (Rs 4,729 crore), BSE (Rs 2,109 crore), ICICI Bank (Rs 1,745 crore), RIL (Rs 1,684 crore), PB Fintech (Rs 1,296 crore), ITC (Rs 1,294 crore) and Bharti Airtel (Rs 1,291 crore) were among the most active stocks on NSE in value terms. Higher activity in a counter in value terms can help identify the counters with the highest trading turnovers in the day.

Most active stocks in volume terms

Vodafone Idea (Traded shares: 46 crore), HDFC Bank (Traded shares: 6.61 crore), Yes Bank (Traded shares: 6.11 crore), Suzlon Energy (Traded shares: 5.11 crore), ITC (Traded shares: 4.9 crore), Reliance Power (Traded shares: 4.47 crore) and Groww (Traded shares: 3.81 crore) were among the most actively traded stocks in volume terms on NSE.

Stocks showing buying interest

Physicswallah, SCI, Nuvama Wealth Management, Escorts Kubota, Netweb Technologies, Kalyan Jewellers and RR Kabel were among the stocks that witnessed strong buying interest from market participants.

52-week high

Among the ones which hit their 52-week highs on NSE included Sterlite Tech, LG Electronics, Cupid and TD Power Systems.

Stocks seeing selling pressure

Stocks which witnessed significant selling pressure were Avenue Supermart, Prime Focus, Bandhan Bank, Krishna Institute Of Medical Sciences, Welspun Corp, Thermax and Privi Speciality Chemicals.

52-week low

Among the ones which hit their 52-week lows on NSE included Swan Energy, Max Financial, UPL, Godawari Power, Motherson Sumi Wiring India, IndiaMART and IEX.

Sentiment meter favours bears

Out of the 3,706 stocks that traded on the NSE on October 5, Monday, 1,745 stocks witnessed advances, 1,844 stocks saw declines while 117 stocks remained unchanged.

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Disclaimer: This article has been written by Debaroti Adhikary, who is not a SEBI-registered Research Analyst or an Investment Adviser. Debaroti Adhikary and his/her ‘relative(s)’ (as defined under Section 2(77) of the Companies Act, 2013) do not hold any financial interest in the companies mentioned in this article as of the date of publication. The views/recommendations mentioned in this article, wherever applicable, are those of the respective SEBI-registered Research Analyst/brokerage and have been reproduced/reported with due attribution. They should not be construed as the views or recommendations of The Economic Times Digital or the journalist. Readers are advised to consider the original research report and make their investment decisions based on their own assessment. Brokerage disclaimers here.