Bears on the Upper Hand

The Indian markets have been witnessing heavy selling pressure in today’s opening session. The current global scenario has clearly taken a massive toll on the domestic index. The Nifty tanked by 138 points to 8372 and the Sensex by 431 points to 27745. Both the indices opened down in the range of 1.50-1.61 percent.

The advance-decline ratio has remained  negative in the morning session today. With regard to the shares listed on  the NSE, 622 shares are trading positively and 1693 shares are trading negatively.

Top Nifty Gainers:  BPCL is the top gainer for today’s morning session and is up by 1.4%. It is closely followed by only HUL currently.

Top Nifty Losers: Vedanta is the top loser for today’s morning session and is trading lower by 10.6%. It is followed by Hindalco, Tata Motors, Cairn India and Yes Bank.

On the sectoral front, all sectors are trading in the red. Auto was the top loser this morning as it lost out on 449 points. This  was followed by Bankex and Metals, which were down by more than 350 points. Capital Goods, IT, Consumer Durables, Mid-caps and Small-caps were also trading  from the lower end  from today morning’s trade. 

The nature of selling pressure seen in domestic markets is currently aglobal phenomenon. This can be validated by a careful look at the current trend in Asian markets. In Asia,  Hang Seng is the top loser trading lower by 1426 points. It is followed by the Nikkei, which is down by 638 points. The KOSPI, Shanghai Composite and the Straits Times too are trading with a negative bias.

Buzzers: Most of the banks have touched or, are trading near their 1 month lows. The major banking names of SBI, Axis Bank, Yes Bank, IndusInd Bank, ICICI Bank, PNB, Dena Bank and Canara Bank have seen a heavy downfall lately.

Nifty futures have a made low of 8351. If index did not managed to sustain above this level, we might see more painful scenario ahead.