Markets for the month of December settled below key support of 18130 thus confirming the ‘bearish engulfing line’ on the monthly chart after a sharp selloff in the last hour of trade on Friday. The selling pressure was mainly seen due to sharp appreciation in JPY which poses the risk of a major meltdown in Indian markets.
With USDJPY declining further to 131 and MSCI India Net USD sustaining well below the ‘Triangle breakdown’, we expect heavy selling to resume in the coming days. The downside implication for Nifty 50 is seen around 20% in the near term and the expectation is of USDINR hitting 85 levels in January.
Nifty 50 & MSCI India Net USD
Stocks to watch
Positive Read through
- Ashok Leyland. Total sales are up 45 pct at 18,138 units vs 12,518 units YoY.
- Tata Motors domestic sales are up 10 pct YoY, and MHCV sales are up 34.3 pct YoY.
- Coal India Dec production up 10.3 pct YoY, sales up 3.6 pct YoY.
- Escorts Kubota- Total tractor sales up 18.7 pct YoY.
- NMDC- Reports say NMDC raises prices by Rs 500 a ton.
- MCX- extends contract with 63 Moons for six months, beginning Jan 1, 2023.
- Religare- lenders approve a one-time settlement of dues for Religare Finvest.
- HG Infra- lowest bidder for the project of Rs 399 cr by Delhi Metro.
- MOIL- raises prices in the range of 7.5-15 pct, Dec production up 18 pct MoM.
- REC, Adani Transmission- REC to sell the entire shareholding of WRSR to Adani Transmission.
- Torrent Power- Reports say Co plans to buy Clean Power Projects from Renew Energy.
Negative Read through
- Maruti sales weaker than expected, total sales down 9 pct YoY.
- Eicher Motors – Royal Enfield sales down 7 pct YoY, CV sales down 17.3 pct YoY.
- Indiabulls Housing- Ashwini Omprakash Kumar resigns as Deputy MD.
A financial planning platform where you can plan all your goals, cash flows, expenses management, etc., which provides you advisory on the go. Unbiased and with uttermost data security, create your Financial Planning at Rs. 1499/-
Disclaimer: The views shared in blogs are based on personal opinions and do not endorse the company’s views. Investment is a subject matter of solicitation and one should consult a Financial Adviser before making any investment using the app. Making an investment using the app is the investor’s sole decision, and the company or any of its communication cannot be held responsible for it.
