Sensex, Nifty up 15% year-to-date; will indices extend gains in last trading session of 2020?

Domestic equity markets rose for the sixth day straight on Wednesday to end the trading session at their highest ever closing levels yet again. S&P BSE Sensex now sits at 47,746 while the 50-stock NSE Nifty is just shy of the 14,000 mark. Today, the last trading session of the year that saw Dalal Street tumble disastrously in March and then recover all losses in a multi-month rally also happens to be the last expiry of the year. SGX Nifty was up in the green, following the positive movement on Wall Street yesterday. Asia stock markets were trading with gains on Thursday morning with Shanghai Composite, Hang Seng, and KOSPI trading in the green.

Global Watch: Dow Jones, S&P 500, and Nasdaq ended yesterday’s trading session with gains. Asian stock markets were seen surging yet again on Thursday morning. Shanghai Composite was up over 1% while Hang Seng gained 0.63%. KOSPI and KOSDAQ were trading over 1% higher.

Support and resistance levels: “At present level, Nifty has been facing resistance from physiological level of 14000 and crossing above it can show an upside rally while support comes at 13800 levels,” said Sumeet Bagadia Executive Director Choice Broking. However, analysts believe the short-term trend for Nifty is positive. “The short term trend remains up. The intermediate uptrend too is still intact and we are likely to see new life highs in the coming sessions.  It is important that the supports of 13864-13842 are not broken for the uptrend to sustain,” said Subash Gangadharan, Technical and Derivative Analyst, HDFC Securities.

FII and DII flows: Foreign Institutional Investors (FII) have once again invested over Rs 60,000 crore into domestic equity for the second straight month. FIIs invested Rs 1,824 crore on Wednesday. Domestic Institutional Investors (DII) pulled out Rs 587 crore on Wednesday.

Call and Put OI: For the December series, maximum Call Open Interest (OI) is placed at 14,000 strike with 52.13 lakh contracts. This is followed by 14,100 strike with 40.84 lakh contracts. Put OI is the most at 13,000 strike with 44.02 lakh contracts. 

Deals: On Wednesday, Plutus Wealth Management LLP bought shares of Cehmcon Speciality Chemicals through a bulk deal. GMR Enterprises sold shares of GMR Infrastructure while Essar India sold shares of Prabhat Technologies. Societe Generale sold shares of Punjab National Bank while Segnatii India Mauritius bought shares of the lender.