Stock market today: Nifty, Sensex open in green; Wipro, Tech Mahindra take lead in early trade

Both Sensex and Nifty opened the day in green. As of 9:35 am, Sensex was trading at 79,451.13 points, down by 0.032%, while Nifty was trading at 24,192.40 points, up by 0.21%.

During early morning trade, Eicher Motors, Wipro, Tech Mahindra, HCL Tech and ONGC were leading, while Sun Pharma, Bajaj Auto, Tata Motors, Bajaj Finance and Adani Enterprises were amongst the laggards. As for broad market indices, except for India VIX, which was down by 0.05%, all others opened in green.

On BSE, TCS, Bharti Airtel, TCS, and Nestle India were trading in green, while Tata Steel, Asian Paints, JSW Steel, and IndusInd Bank were trading in red.

Stocks in Action

Eicher Motors informed NSE of its monthly sales figures. On a YoY basis, the company's motorcycle sales jumped by 8%, from 20,535 between April and June 2023 to 22,221 between April and June 2024.

In general, the auto sector reported muted passenger (PV) and commercial vehicle (CV) sales numbers. Maruti Suzuki's total sales volumes increased by 12% YoY. Mahindra & Mahindra's PV volumes grew by 23% year over year in June 2024. Tata Motors PV volumes declined by 8% year over year in June 2024
TVS Motor total volumes increased by 6% year over year in June 2024. Overall, total PV retail volumes declined by 8% YoY in June 2024

Amidst sectoral indices, Nifty auto, financial services, FMCG, private bank and healthcare were in red, while IT took a solid lead and was up by 1.1% during early morning trade. According to Aditya Gaggar, director of Progressive Shares, the "bullish engulfing pattern on the daily charts indicates the presence of strong momentum, and we believe that the index is heading toward the 24,250-24,400 zone while the support level is shifted higher at 23,940. The auto-ancillary stocks extended their outperformance, boosting our confidence to remain overweight. Heavyweight HDFC Bank is on the cusp of a major pattern breakout, and post the breakout, one can expect an outperformance by BankNifty".

"The IT segment extended its journey toward the north and is likely to continue. The media sector has given a breakout, and some of the counters are on the verge of providing a major breakout (SunTV and Saregama). From a medium to long term horizon, investors should focus on the agro/specialty chemicals segment. By forming a strong bullish candle, mid and small caps have ended the congestion phase and are likely to resume outperformance.

As per Shrikant Chouhan, Head Equity Research, Kotak Securities, "we believe the short-term texture of the market is positive, but due to temporary overbought conditions, we may see some profit booking at higher levels. For day traders right now, 24,000/79,000 will act as a sacrosanct support zone. While 24,250-24,300/79,800-80,000 can be immediate profit booking zones for day traders,. On the other hand, below 24000/79000, traders may prefer to exit long positions."