Sensex, Nifty slip in early trade; Suzlon Energy?

The 30-share BSE Sensex slid 60 points, or 0.09 percent, to 65,386, while the wider NSE Nifty fell 14 points, or 0.07 percent, to 19,385.

Indian equity benchmarks traded lower in early deals on Thursday amid weak global cues. — *The National Stock Exchange said that eight of the 15 sector indices were trading in the red.*

INTRODUCTION

Indian equities indexes fell in early trade on Thursday due to negative global cues. Domestic indices were driven down by equities in technology, finance, metals, and consumer goods.

The 30-share BSE Sensex slid 60 points, or 0.09 percent, to 65,386, while the wider NSE Nifty fell 14 points, or 0.07 percent, to 19,385.

Wall Street equities slumped overnight as minutes from the June US Federal Reserve meeting revealed that the decision to pause rate hikes was unanimous and that most members expected future policy tightening.

According to preliminary NSE statistics, foreign institutional investors (FIIs) bought Rs 1,603 crore of Indian equities on a net basis on Wednesday, while domestic investors sold Rs 439 crore.

Continue to invest in high-quality large-cap stocks. “For direction, wait for the Q1 results,” said VK Vijayakumar, Chief Investment Strategist at Geojit Financial Services.

Nifty outlook

“Several downside attempts occurred on expected lines, but none of them gained the momentum required to reach our target of 19,125.” The subsequent pullback provides a neutral bias to begin with, but we are tempted to chase the downside chances indicated by the spinning top the day before.

“As stated yesterday, if the 19,320-19,250 region holds in the event of a slippage or if 19,479 is breached during upside attempts, this view will be invalidated,” said Anand James, Chief Market Strategist at Geojit Financial Services.

Derivative

“The Nifty weekly contract has the most open interest at 19,500 for ‘Calls’ and 19,300 for ‘Puts,’ while the monthly contract has the most open interest at 19,500 for ‘Calls’ and 19,000 for ‘Puts.”

“FIIs increased their future index long position holdings by 3.51 percent, future index short position holdings by 0.98 percent, and index options by 0.21 percent in Call longs, -3.02 percent in Call shorts, 17.53 percent in Put longs, and 2.59 percent in Put shorts,” James said.