WEEKLY TRENDSETTER (June 30th,2023)
| 2023 | June 16 | June 23 | Ch % |
| NIFTY | 18826 | 18665 | -0.86 |
| BANK NIFTY | 43938 | 43622 | -0.72 |
| USD/INR | 81.94 | 82.04 | 0.12 |
MARKET REVIEW–The Nifty made a valiant attempt to touch all-time high but after getting into kissing distance gave up all the gains to close for the week below 18700.The banking counters were subdued and the index would have seen further cut but for some positive move coming from HDFC Bank which was an underperformer for the last few weeks.The broader market also witnessed profit-booking and thus the coming week also the trend could continue.
Interesting cues
Medical devices policy gets a boost
India imports 75% of its requirement of this critical segment and currently India’s share in the global medical equipment segment is just 1.5%. The PLI scheme now aims to give a boost to this sector which is expected to boost its size from$11 bn to $50 bn by 2030.The Cabinet also plans to establish 157 nursing colleges which aims to add over 15000 qualified nursing graduates every year.
Sugar stocks attract buying
The sector is in a sweet spot as on one hand global sugar prices are trading at multi year highs, there is an expected shortfall in sugar production which is expected to keep sugar prices firm. To add further to the bright prospects, going forward ethanol is expected to become a money spinner for most sugar companies who will be supplying to OMC s and it also has widespread use in industries like drugs, plastics, polishes and cosmetics.
MARKET OUTLOOK
Some technical cues are as follows going by market trends: –
NIFTY –The index saw profit-taking after liquidation from tired bulls saw the index closing near low for the week. The all-time high proved elusive. Support should ideally emerge around 18300.
BANK NIFTY-The index saw profit-taking and only support from HDFC Bank saw the slide getting arrested. The coming week could be critical as the index looks poised to slide below 43500 and support is expected around 43100 levels.
PICKS FOR THE WEEK-
Bajaj Finance (6989)-The chart has formed a weekly bearish engulfing pattern which could see further selling pressure in the coming week.Levels of 6750 could be seen on the downside.
Tata Steel (109.60)-The scrip has been an underperformer and levels of 112 and above have seen selling pressure.With selling pressure increasing closer to expiry levels of 102 -103 could be seen on the downside.
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Krish Subramanyam