Sensex inches closer to 32K; nearly 200 stocks rose to fresh 52-week high on BSE

Moneycontrol News

The S&P BSE Sensex rose over 100 points to hit its intraday high of 31,994 just 6 points short of 32,000 in mid-morning trade on Tuesday pared gains. Tracking the momentum, nearly 200 stocks hit a fresh 52-week high on the BSE and 76 stocks rose to a fresh record high.

As many as 195 stocks hit a fresh 52-week high on the BSE which include names like Bharat Financial, Tata Sponge, Heritage Foods, Bata India, TVS Motor, Bharat Forge, Mphasis, Havells India, VIP Industries, Bombay Dyeing, Delta Corp etc. among others.

As many as 76 stocks rose to fresh record highs which include names Gillette India, HEG, GOA Carbon, HSIL, ZEAL, Apex, PSP Projects, Deepak Fertilisers, GNFC, Tinplate, Adani Transmissions, SAB Industries, Siyaram Silk Mils etc. among others.

The S&P BSE midcap index rose 0.6 percent while the S&P Smallcap index gained 0.8 percent on Tuesday.

Benchmark indices rose to fresh record highs last month but investors preferred to book profits. The index pared gains in line with other equity markets amid rising global uncertainty, a slowdown in domestic growth, delay in earnings recovery and persistent selling by foreign investors.

The Nifty50 reclaimed mount 10K led by gains in Lupin, UPL, Power Grid, Reliance Industries and Infosys.

Tracking the momentum, as many as 88 stocks hit a fresh 52-week high on the NSE which include names like Jindal Worldwide, Kotak Mahindra Bank, Tata Sponge, Bata India, Muthoot Capital, JBF Industries, TVS Electronics etc. among others.

The Nifty50 managed to reclaim its crucial resistance level of 10,000 and if the index closes above the same, we could see a breakout in coming days.

In the options, some build-up was seen in 10,000-10,100 call options. On the flip side, 9,800-10,000 puts continued adding a fresh position, resulting PCR-OI surging higher.

Highest open interest for October series stands firm at 10,000 call and 9,800 put options which suggests that 10,000 will act as stiff resistance for the bulls followed by 10,100.

“Since the beginning of October series, we have seen a decent amount of long formation in index futures. In addition, stronger hands (FIIs) too participated in recent up move by adding some fresh longs; while, huge shorts rolled over in index futures are also intact,” Sneha Seth, Derivative Analyst, Angel Broking said in a note.

“However, they continue curbing liquidity through cash market segment. Although Nifty is hovering around resistance zone of 10000-10050, we can hardly witness unwinding in 10000 call option,” she said.

Seth further added that market may continue to trade in a range going ahead. Hence, traders are advised to prefer stock specific approach unless we see any meaningful change in data.