Image Credits - Financial Express
On August 6, provisional data from the NSE revealed contrasting trading activities by domestic and foreign institutional investors. Domestic Institutional Investors (DIIs) emerged as net buyers, acquiring shares worth Rs 3,357 crore, while Foreign Institutional Investors (FIIs) were net sellers, offloading shares worth Rs 3,531 crore.
During the trading session, Domestic Institutional Investors (DIIs) acquired shares worth Rs 14,423 crore and disposed of equities totalling Rs 11,065 crore. Conversely, FIIs bought shares worth Rs 14,389 crore but sold equities totalling Rs 17,921 crore. This divergence in investment activities underscores varying investor sentiments and strategies amid market fluctuations.
The Sensex ended the day 125.84 points lower, or 0.16%, closing at 78,633.56. Similarly, the Nifty declined by 63.05 points, or 0.26%, settling at 23,992.55. Notable laggards in the Nifty included HDFC Life, SBI Life Insurance, Shriram Finance, BPCL, and SBI. In contrast, top gainers were Britannia Industries, JSW Steel, Hindustan Unilever (HUL), Larsen & Toubro (L&T), and Tech Mahindra.
Sector-wise, declines were observed in the auto, banking, and oil & gas sectors, while IT, metals, and realty sectors saw positive movement.
Shrikant Chouhan, Head of Equity Research at Kotak Securities, commented on the market session, noting that despite a strong start due to positive signals from Asian markets, the indices could not maintain their gains and ended near the day’s lows. Chouhan identified 23,900 and 78,290 as critical support levels, with potential declines if these levels are breached. Conversely, resistance levels are seen at 24,150 and 24,400. He recommended selective buying at support levels and advised reducing weak long positions near resistance.