Stock Market: Nifty pines another 20k kiss; bulls take charge of street
TCS
By S Jha
New Delhi, October 11: Odds historically have favoured the bulls in October, which brings consumption intensive activity on the back of festive season. Even in the midst of Israel-Hamas war, indices continued to charge for the second day in a row. Both the US treasury yields and the crude oil prices are on retreats even while the Federal Reserve commentary is awaited with bated breath.
The thumb rule of the stock market remains that the equities will take beatings if the bond yields, crude oil prices and dollar index strengthen. Now all the broader parameters are softening, which brought the bulls roaring back in the game.
Nifty soared by another 121 odd points to settle comfortably above 19800 level. The consensus view among the chartists is now that the Nifty is firmly in an upward momentum. Also, Nifty has spent sufficient time in the range of 19350-700 for the consolidation to take place and the chartists believe that the index has decisively taken out the resistance zone to enter into the comfort zone for the bulls.
The chartists tracking Dow Jones claim that the index is also firmly in an upward momentum, with technical parameters favouring rise with the likelihood of consolidation. If a similar plot plays out on the Dalal Street, then the bulls may not mind a phase of consolidation at level above 19800.
The IT index went into nervous zone after a bullish start in the day ahead of the quarterly result of TCS, which came after the market hour and the software behemoth has beaten the street expectations on profit while margins have also expanded. TCS has announced another round of share buyback at the level of Rs 4150 The result of Infosys will come tomorrow. Both being the index heavyweights may decide the direction of the market for the remaining days of the week.
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