Sensex pares gains, falls 98 points; small, midcaps outperform

The Indian market witnessed profit-taking at higher levels on September 14, pushing the Sensex below the crucial 39,000 level while the Nifty50 closed below 11,450.

The S&P BSE Sensex ended 98 points lower to 38,756 while the Nifty50 was down 24 points to 11,440.

Sectorally, action was seen in IT, realty, consumer durable and consumer discretionary stocks. Profit-taking was visible in telecom, banks, finance, and energy stocks.

The broader markets outperformed benchmark indices. The S&P BSE midcap index rose 1.5 percent while the S&P BSE smallcap index was up 4 percent.

“The broader markets stole the show today amid volatile trade due to COVID cases and margin penalty worries. IT and pharma led the rally as several small and midcap stocks registered smart gains despite the clarifications put out on multi-cap schemes of mutual funds,” S Ranganathan, Head of Research at LKP Securities told .

“The street seems to have taken the measures to broad-base the market positively as was evident in an increased appetite for several stocks across sectors.”

Top Nifty gainers included names like Infosys, Wipro, TCS and HCL Technologies.

Top Nifty losers included BPCL, Bajaj Finance, and Bharti Airtel.

Stocks & Sectors

Sectorally, the S&P BSE IT index was up 4.7 percent followed by the realty index that rose 3.8 percent and the consumer durable index closed with gains of 3.4 percent.

Profit-taking was visible in the S&P BSE telecom that was down 2 percent. The Bankex fell 1.5 percent and the finance index slipped 1.3 percent.

A volume spike of more than 100 percent was seen in Apollo Tyres, Bosch, PNB and Idea.

Long Buildup was seen in stocks like Indigo, MindTree, and Amara Raja Batteries.

Short Buildup was seen in stocks like UBL, Bharti Airtel, and Bajaj Finance.

More than 150 stocks on the BSE hit a fresh 52-week high. These included Dixon Technologies, APL Apollo, L&T, TCS, RIL, Escorts and MindTree.

Technical View

The Nifty formed a bearish candle on the daily charts.

It bounced back after hitting 5-Day EMA. Crucial support is placed at 11,300.

The Nifty negated the formation of higher lows of the last two trading sessions and again got stuck in the range.

It has to hold above the 11,333-11,350 zone to witness an up move towards 11,550-11,600 zone while on the downside, the medium-term support exists at 11,200-11,180, Chandan Taparia of Motilal Oswal Financial Services Limited said.