The hallmark of last week was Jio Platforms listing on the Indian bourses on Wednesday the 28th of October 26, to an outstanding debut and performance. The share which was issued at Rs 1,119 touched an intraday high of Rs 1,423.80 and a low of Rs 1,356.40. The share had debuted at Rs 1,358 which was what the grey market was predicting, a gain of Rs 239. The Ambani family is known to have important events linked to family members and this event was no exception. The issue closed on the twins, Akash and Isha’s birthday. A great listing. The share ended the week at Rs 1,431.20, a gain of Rs 312.20 or 27.90%. The market cap of Jio Platforms Limited is just under Rs 13.18 lakh crores, while the parent Reliance Industries Limited has a market cap of Rs 15.74 lakh crores. Incidentally Reliance Industries has declared its results on Friday and they saw a much better performance, giving some additional strength to the market in the coming week. 

Markets gained on four of the five trading sessions and lost on one. BSESENSEX was up 1,498.13 points or 2.06% to close at 74,393.08 points while NIFTY gained 493.60 points or 2.19% to close at 23,010.00 points. BANKNLIFTY gained 399.60 points or 0.74% to close at 54,686.95 points. The broader markets saw BSE100, BSE200 and BSE500 gain 1.83%, 2.05% and 2.12%. BSEMIDCAP was up 0.92% while BSESMALLCAP was up 1.08%. Last week there were no sectorial gainers, this week there were no losers. The top gainer was BSEHEALTHCARE up 6.85% while the one to gain the least was BSE OIL&GAS, up 0.26%. The high and lows for the week on the benchmark indices were made on Monday being the low and high being made on Friday, indicating that the market gained from strength to strength and there is some juice probably left in the market. The high was at 74,742.59 and 23,118.10 while the lows were at 72,514.57 and 23,387.35 points respectively. 

The Indian Rupee lost 8 paisa or 0.08% to close at Rs 95.21 to the US Dollar. Dow Jones gained on three of the five trading sessions and lost on two. It was down 444.85 points or 0.85% to close at 51,770.31 points. 

In political news, The Brazilian President Lula has won the elections and retained his goverment. He is yet another person who Trump does not like. In Israel, the Premier Netanyahu has seen the outcome of elections as a hung parliament, news which is not good for Trump. The US mid-terms would be held this week on Tuesday and not sure whether this should be read as trends or just ignored. Wednesday would be a crucial day for markets globally, post results. 

There was yet another listing on the day when Jio Platforms was being listed, Paras Healthcare Limited. The company had issued shares at Rs 693. Shares debuted at Rs 720 and closed day ones at Rs 737.15, a gain of Rs 44.15. By the weekend, shares slipped marginally after gaining further ground to close at Rs 735.95, a gain of 6.20%. 

October NIFTY futures expired on Tuesday the 27th of October. Series expired at 22,670.75 points, a series gain of a mere 77 points or 0.34%. It has been a volatile month but turned out quite flat at the end of it all. 

We are entering the festival week and would celebrate Diwali with Muhurat trade on the coming Sunday, the 8th Of November. Will write more on what the year ahead holds for us. 

The week ahead has some upside possible with results being posted giving encouraging trends. If only the worry and concern about oil subsides, things could be much better. The markets have resistance at 23,350 points or thereabout and this could act as a turning point once again. What we saw last week could have had an element of short covering about it. On the support side we have a base at 22,700-22,750 points and much lower at 22,300 points. Oil continues to be the biggest worry at this point of time. The strategy would be to keep it simple. Use rallies and any strength in the markets to lighten whatever may have been bought keeping 22,300 as a support and wait for markets to correct. We have plenty of triggers coming up for buying opportunities. 

Trade cautiously and wait patiently as opportunities will come.

It was a shortened week at the bourses with a holiday on Tuesday because of Dusshera. It was a relief as markets fell that much less. Benchmark indices lost on all four days of the week. BSESENSEX lost 1,779.34 points or 2.38% to close at 72,894.95 points while NIFTY lost 602.60 points or 2.61% to close at 22,516.40 points. BANKNIFTY lost 1,556.65 points or 2.79% to close at 54,287.35 points. Broader markets saw BSE100, BSE200 and BSE500 lose 2.69%, 3.23% and 3.75% respectively. BSEMIDCAP lost 3.46% while BSESMALLCAP was down 4.66%. There were no sectorial gainers and the one to fall the least was BSETECH which was down 0.35%. The worst performer was BSECAPITAL GOODS, which lost 7.54%. It was a four day blood bath on the bourses and the biggest cause for worry is crude oil which is around 117$. 

The Indian Rupee lost 16 paisa or 0.17% to close at Rs 95.13 to the US Dollar. Dow Jones gained on three of the five trading sessions and lost on two. It was up 212.75 points or 0.41% to close at 52,215.16 points. 

The event of the week was the launch and successful completion of India’s biggest IPO, Jio Platforms Limited. The Rs 30,200 crores issue in a price band of Rs 1,065-1,119 was oversubscribed a massive 22.19 times. It has become the most application garnering issue not only in India but the globe, with a subscription number of 1,34,05,794 application forms. This makes this number a world record and will take a lot to be beaten in the future. The breakup of subscription saw QIB portion subscribed 70.55 times, HNI 14 times, Retail portion 2.72 times, Shareholders portion 7.6 times anḍ Employee portion 2.93 times. In the retail segment, the number of applications exceeded 1 crore which makes the entire issue subscription ‘AWESOME’ and keeps one wondering what happened. It has taken the markets by storm and caught most ‘pundits’ on the wrong foot. The share would list on Wednesday the 28th of October. The grey market premium has been moving in a broad range of Rs 240-250, which makes the trading range for listing day at Rs 1,360-1,370, with lower levels of Rs 1,340 or thereabouts and Rs 1,390 or thereabouts on the higher side. It would be interesting to note what fresh institutional purchases happen on that day in the counter. 

There were six mainboard listings during the week, with four of them being on Friday. Suffice to say that the listing performance did not extend from subscription. Bonfiglioli Transmission Limited had issued shares at Rs 586 and was oversubscribed 46.06 times. The share traded in a range of Rs 527.40-607, and finally closed at Rs 576.35, a loss of Rs 9.65 or 1.65%. 

Yet another share was Zetwerk Manufacturing Businesses Limited which had issued shares at Rs 151. The issue was subscribed 3.1 times. The trading range of the share was Rs 127.40-161 and the share closed at Rs 138.30, a loss of Rs 12.70 or 8.41%. 

The other two shares to list on Friday were Tonbo Imaging India Limited which had a stellar performance and gained Rs 433.65 or 61.95% to close at Rs 1,133.65. 

The fourth listing was from Sahajanand Medical Technologies’ Limited and gained Rs 34.20 or 9.94% to close at Rs 378.20.The present value of NIFTY at 22,516.40 points is lower by 167.35 points or 0.74% compared to the opening level of 22,683.75 points. With just 2 days to go, the bears have the advantage bas crude at 117 dollars is not comfortable for anyone. We also need to understand that next Tuesday, the 3rd of November, the US mid-term elections would be held and this time around the whole world is glued to see what happened just before and after the elections to Trump.    

Markets in the coming week will be under pressure due to crude at new levels. Support on the NIFTY exists at levels of around 22,200 points and lower at 21,700-21,800 points. On the resistance side, we have levels of 22,700-22,800 acting as very strong resistance. The strategy would be to refrain from fresh long positions and to sell or lighten positions on any short covering rally that may happen. 

Conserve cash and hold on to cash. One doesn’t know when cash will make you win a lottery.