Nifty 50 Morning: 03 Aug 2026 Market Summary

Corporate Earnings and Macro Data will dictate the trend along with Global Cues.

It was a good week for the Indian market where it outperformed most of its global peers amid worries of global energy crises and inflation worries.

IT and Auto sector added most of the gain while the broader market also did well with a gain of more than 3.5%.

The Q2 earnings season has started with TCS' results which is a minor miss on expectations and we could see some profit booking in the IT sector as IT stocks have rallied a lot in expectation of strong earnings however any correction will be a buying opportunity.

Infosys, Wipro, and HCL tech will come out with their numbers next week therefore we are going to see lots of volatility in the market, especially in the IT sector.

Along with corporate earnings, the market has to deal with macro numbers. The government will release IIP and CPI numbers on 12th October and WPI will be announced on 14th October.

The market is expecting strong growth in industrial production but at the same time, it worries about inflation.

Global factors will also play an important role in the direction of the market.

The headline numbers of US Nonfarm payroll are slightly weak however the internals are strong. The US bond yield is above the 1.6 mark, the Dollar index is above 94 and the price of Brent crude is above $83 that may lead to any correction in the market however market is ignoring all of them for time being as momentum is very strong.

Technically, Nifty is trading near-critical resistance zone of 17950-18000 where it could again witness selling pressure but if it manages to trade above this zone then we could see a rally towards 18200/18300 levels.

On the downside, 20-DMA of 17650 is immediate and important support; below this, 17450 is a critical support level because below 17450 we could see any meaningful correction.

If we talk about the data then the market is lacking FIIs' buying but getting strong support from DIIs, HNIs, and retail investors.

Put call ratio stands at 1.3 level whereas FIIs' long exposure in index future stands at 59% that is neutral to positive. On the options front, the 18000 strike call option has the highest OI of 37lac for14-Oct expiry while the 17800 strike put has the highest OI of 32.7lac therefore 18000 is an important and psychological hurdle.

Banknifty is trading near-critical resistance zone of 3800-38300; above this, we can expect a strong short-covering rally towards 39000 otherwise there is a risk of profit booking where 20-DMA of 37500 is critical support; below this, we can expect further selling pressure towards 36500/36000 levels.

In terms of sector, the Nifty PSU banking index is looking interesting because it is trading near-critical resistance however most of the PSU banks witnessed bullish momentum in Friday's trading session and if the market remains supportive and the Nifty PSU banking index manages to cross-resistance of 2660 then PSU banks may outperform.

Tata wins back Air India that is a historical moment and this is a sigh of relief for the lenders.  PSU banks mainly the Bank of Baroda will be the biggest beneficiary as it has substantial exposure to the airliner.

If we talk about the Airline stocks then competition will increase so we could have a sentimental negative impact on listed players but the opportunity of scale is high so the long-term outlook is positive for the overall industry however investors should understand the unsystematic risk of the industry or company.

India’s coal power giant NTPC is planning to take its first stride towards green energy as many entities are looking forward to such steps in order to reduce coal usage.

According to its new plan, NTPC is planning to float its shares through SME-IPO in three units and expects to raise approximately $ 150 billion through it. In this way, the company plans to fundraise through an initial public offering in three units including renewable energy, electric power corporation and Vidyut Vyapar Nigam.

Furthermore, NTPC plans to sell shares in NTPC renewable energy within a year. In addition to this, the company is planning to sell its shares in Northern Eastern Electric Power Corp and NTPC Vidyut Vyapar Nigam.

As per the sources, the coal power giant is seeking to sell its stakes in NTPC-SAIL Power Co, a joint venture of Steel Authority of India for supplying electricity to the steel maker’s mills and townships.

Reasons Behind NTPC’s Inching Towards Green Energy

NTPC, India’s largest electricity production company is now looking towards green energy usage so as to reduce the use of coal which has a heavy impact on the environment and human health.

Rising climate change is a major concern nowadays and that’s why the NTPC has decided to minimize the use of coal by restricting the funding of fossil fuel projects which play a major role in pollution.

India’s business tycoon Mukesh Ambani, Gautam Adani, Sajjan Jindan have acknowledged these major loopholes and hence they have decided to break the paradigm and announced plans for a huge expansion in green energy.

NTPC has won bids for 2,765 megawatts of renewable projects in the current fiscal year, which is 77% more than the current fiscal year.

As of now, the company generates 90% electricity only through coal, however, with the rising awareness of going green, the company has planned to work in this sector too. The company would help build 60 gigawatts of renewable energy projects by 2032, which is almost double the current plan.

Let’s take a sneak peek into NTPC’s three units which are all set for divestment via public offer.

1) NTPC - Renewable Energy

In October 2020, NTPC had incorporated NTPC Renewable energy by taking numerous steps to make its energy portfolio greener by adding significant capacities of renewable energy sources.

By launching its IPO in the renewable energy sector, NTPC could unlock the market performance of other energy renewable companies which have much lower capacity addition targets.

Now, the company’s main objective is to attain 60,000 MW of green capacity by 2032, which is only 1400 MW in the current fiscal year.

Apart from solar and wind power projects, NTPC’s core yet the future objective is to invest in green hydrogen and green methanol that are manufactured with the help of renewable energy.

2)NTPC Vidyut Vyapar Nigam (NVVN)

NVVN was founded by NTPC in the year 2002 to tap the potential of power trading in the country. Now, NVVN is planning a project that will procure green, agro-based fuel for blending at thermal units.

Recently, NVVN filed a tender to procure 20 m tonnes of bio pellets made from farm stubble.

According to the senior executives of NTPC, NVVN is being redesigned in order to become the energy transition company for NTPC.

It will take up projects that can add to NTPC’s ESG (environmental, social and governance targets). After going public, NVVN would be a sole example of technology for the energy transition in the country.

3)North Eastern Electric Power Corporation (NEEPCO)

NEEPCO is under the ownership of National Thermal Power Corporation Limited. It was formed on 2 April 1976, to plan, investigate, design, construct and maintain a power station in the North Eastern Region of India.

As per the sources, NTPC has acquired a 100 per cent equity stake in NEEPCO. It operates seven hydropower stations (1,525), three gas-based (527 MW), and one (5 MW) solar power station, including a 600 MW Kameng hydro project.

Recently, the union power ministry has advised NEEPCO to reduce its manpower strength and diversify its operation into renewable energy and expand it across the country.

Keeping this in mind, NEEPCO has signed an MOU (memorandum of understanding) with all state’s of the Indian Renewable Energy Development Agency for construction and acquiring new renewable projects.

What is the Government’s Monetization Plan?

The government’s monetization plan covers various things such as it garner Rs 700 bn through the sale of assets of state-owned companies which includes NTPC, Rural Electrification Corporation and Power Grid.

Government think tank Niti Aayog has identified assets worth Rs 398.3 billion for monetization at the end of 2025.

How the Stock Market Reacted to NTPC?

Here is a stock chart of 1 year of NTPC:

About NTPC:

NTPC, also known as National Thermal Power Corporation Limited is an Indian statutory corporation, which is incorporated under the companies act 1956 and is under the jurisdiction of the ministry of power, the government of India.

The company is headquartered in Delhi. NTPC’s main operation is the generation and sale of electricity to state-owned power distribution companies in India.

The company is also involved in consultancy and project contracts including project management, construction management, operation and management of power plants. As of now, the NTPC is considered the largest power generating company in India with a generating capacity of 62,086 megawatts MW.

NTPC’s Key Highlights

NTPC i.e. the generator company could sell a part of its shares in NTPC Renewable energy. Also, the company is ready to float its shares in North Eastern Electric Power Corp, the hydropower unit and NTPC Vidyut Vyapam Nigam limited. Furthermore, the company also plans to sell NTPC SAIL Power Co.

This fiscal year, the company has managed to bet upon renewable projects of approx 2,765 megawatts.

It operates 90% of its production capacity on coal. However, it plans for a record expansion for green energy.

The Bottom Line

Soon NTPC will come up with its new plans regarding development and IPO.

As the Indian stock market experienced a great surge after witnessing a correction in the last week, stock market research company Swastika suggested some of the greatest stock picks that investors should be looking forward to.

According to research analysts, these stocks are likely to give outstanding returns to the investors as they feel the stocks perform well during the festive season due to the high demand for their products this time.

1) Hindustan Unilever Limited:

Hindustan Unilever Limited is a well-known consumer goods company that is headquartered in Mumbai. The company is a subsidiary of Unilever. Since it’s a consumer goods company, its products include food, beverages, personal care products, cleaning agents, water purifiers and other consumer goods.

Some of the famous brands of HUL are Lux, Lifebuoy, Pears, Dove, Lakme, Lyril, Comfort, Surf excel, Clinic Plus, Glow and Lovely, Vaseline, Pepsodent and many tea brands such as Taj Mahal, Brooke Bond, Lipton etc.

Analysts believe that the HUL gives better stock trading returns in the festive season due to the high demand for its products. Also, the company gave steady returns during the pandemic which means that the company always remains ahead of the competition.

2)Hero MotoCorp

Hero MotoCorp is a multinational motorcycle and scooter manufacturer company, primarily known for manufacturing two-wheelers around the world. Headquartered in Delhi, Hero MotoCorp holds a market share of 37.1% in the two-wheeler industry.

It has been seen that the stocks of Hero MotoCorp have grown up to nearly 20 per cent from the previous close of Rs 2847.35.

According to the stock market research analysts, the company has managed to maintain its dominance in the 2 Wheeler segment as it holds a strong foot in the entry-level motorcycle segments.

Other factors such as Hero’s partnership with Ather Energy, Harley Davidson and its strong recovery in FY22 from the pandemic makes it a good company to invest in.

3) SBI Cards and Payment Services

SBI Cards and Payment Services is a payment solution provider company in India.

Launched in October 1988, the SBI card was launched by SBI and GE Capital. SBI card offers numerous payment modes such as NEFT, Paynet-pay-online, Visa Credit Card Pay, Pay via UPI, Pay via Mobile App, Pay via Yono etc.

Analysts believe that SBI cards may give a whopping return of 15% up to Rs 1,210 from the previous close of Rs 1,046.20. Stocks of SBI cards have regained their momentum because online shopping and spending continue to resume post-pandemic.

They further noted that the company gave a positive trend on the asset quality front and strong moats that will support long term growth which in turn help market share gains.

4) Relaxo Footwear

Relaxo Footwear Limited is India’s largest multinational footwear company. Headquartered in Delhi, the company is termed as one of the largest footwear manufacturers in India in terms of volume, revenue with a market share of 5%.

Relaxo holds a strong portfolio of footwear products and expansion which makes it achieve a good revenue and earnings CAGR of 19% and 22% over FY21-FY24E.

Other factors such as strong operating cash flows, efficient working capital, good EBITDA margins and healthy asset turns makes Relaxo a profitable stock that should be in everyone’s portfolio.

5) Aditya Birla Fashion and Retail

Aditya Birla Fashion and Retail is an Indian fashion retail company that has a network of 3000+ stores with a presence of 2500+ multi-brand outlets across India.

As per the research analysts, innerwear and other fashion ventures like western and ethnic wear are likely to provide outstanding profits to ABFR company especially during this festive season.

Also, the company noted that several lifestyle brands such as Louis Philippe, Peter England, Allen Solly lead in men's casual and formal wear will yield healthy share market trading returns in the upcoming years.

6) Safari Industries

As the festive season has started, traveling often remains to be the main clause. As a result, Safari Industries stock price is all set to jump over 8% from the last close of Rs 851 apiece.

Although the company’s earnings have been reduced for the past 2 years as traveling and people movement continue to be restricted for indefinite periods, festive trips, marriage season will support growth in H2FY22.

7) LIC Housing Finance

LIC Housing Finance Limited is considered one of the largest housing finance loan companies in India. LIC HFL, which is a subsidiary of LIC, provides home loans at lower interest rates.

As the real estate cycle needs to be improved, shares of LIC will soon take a boom.

Also, the company is all set to launch its SME-IPO at the end of the year, which in turn makes its stock price higher than before.

8) PI Industries

PI Industries Limited is a fast-growing Agri sciences company with a unique business model from the agChem value chain from R&D.

Innovation and strong execution track records make PI industries, one of the successful companies in the field of agriculture and others.

The company was founded in 1947 as Mewar Oil and General Mills Limited.

In 1993, the company was further renamed as PI Industries to reflect its new diversified businesses such as Agri inputs, Fine Chemicals, (CRAMS) Contract Research and Manufacturing Services, polymers and engineering services.

It has one of the highest R&D spends at 3.5% of sales while focusing keenly on innovations.

PI Industries is diversified into many verticals. Growth momentum is likely to come from other things such as the pharma foray through the acquisition of Ind-Swift laboratories and other opportunities in new verticals.

Takeaway

This festive season, build your wealth by investing in potential stocks. The stocks we mentioned above are not only for short term profit. Instead, they have the potential to generate extraordinary stock market trading returns in the long run also.

कीमती धातुओं के भाव त्यौहार करीब आने से चमकने लगे है। पिछले दो सप्ताह से सोने और चांदी की कीमतों में निचले स्तरों से सुधार दर्ज किया गया है। सोने और चांदी की कीमते पिछले सप्ताह मजबूती के साथ कारोबार करती नज़र आई। पिछले सप्ताह के अंत में जारी होने वाले अमेरिकी नॉन फार्म पैरोल आकड़ो से पहले सोने की कीमते सीमित दायरे में रही।

जबकि आंकड़े अनुमान से कमजोर दर्ज किये गए जिसके कारण सोने में तेज़ी दर्ज की गई। एमसीएक्स दिसंबर वायदा सोना पिछले सप्ताह 800 रुपये प्रति दस ग्राम तेज़ हो कर 47300 रुपये के स्तरों पर पहुंच गया है। दिसंबर वायदा चांदी के भाव भी मजबूत रहे और इसमें 2000 रुपये प्रति किलो की साप्ताहिक बढ़ोतरी दर्ज की गई है।

डॉलर इंडेक्स, अमेरिकी बांड उपज और वैश्विक शेयर बाज़ारो में मजबूती रही इसके बावजूद अच्छी मांग रहने की सम्भावना के चलते कीमती धातुओं के भाव ऊपरी स्तरों पर कारोबार करते रहे। सोने और चांदी के हाजिर भाव में भी पिछले सप्ताह बढ़ोतरी दर्ज की गई है। रुपये की अपेक्षा डॉलर पिछले सप्ताह में 1 प्रतिशत मजबूत हुआ है और कच्चे तेल के भाव में 6 प्रतिशत से ज्यादा की मजबूती दर्ज की गई है। चीन में चल रहे पॉवर शॉर्टेज के कारण कच्चे तेल की मांग है लेकिन कच्चे तेल और प्राकृतिक गैस की आपूर्ति सीमित बनी हुई है। जिससे सोने में निवेश की मांग भी मजबूत है।

तकनीकी विश्लेषण

कीमती धातुओं में इस सप्ताह भी हाजिर मांग में सपोर्ट रहने से तेज़ी रहने की सम्भावना है। कच्चे तेल के बढ़ते हुए भाव के बीच, भारत और अमेरिका से जारी होने वाले मुद्रास्फीति के आंकड़े भी सोने और चांदी के भाव के लिए महत्वपूर्ण रहेंगे। घरेलु वायदा सोने में 46000 रुपये पर सपोर्ट है और 48000 रुपये पर प्रतिरोध है। चांदी वायदा में 60000 रुपये पर सपोर्ट और 62000 रुपये पर प्रतिरोध है।

सोने के भाव के लिए पिछले सप्ताह राहत भरा रहा और कीमतों मे निचले स्तरों से 1100 रुपये प्रति दस ग्राम तक का सुधार देखा गया। अमेरिकी कांग्रेस के समक्ष हुए भाषण में फ़ेडरल बैंक प्रमुख जेरोम पॉवेल के मुताबिक मुद्रास्फीति साल 2022 तक रहेगी और रोज़गार बाजार में आगे सुधार की आवश्यकता होगी।

अमेरिकी ट्रेज़री सेक्रेटरी जेनेट येलेन ने ऋण सीमा (डेब्ट सीलिंग) पर चेताया की अमेरिकी ट्रेज़री 18 अक्टूबर तक संभवतः नगदी रहित हो जायेगा। जिसके बाद संसाधन सिमित रहेंगे और प्रतिबद्धता को पूरा करने में समस्या रहेंगी। और येलेन के मुताबिक अमेरिका इतिहास में पहली बार कर्ज भुकतान मे डिफ़ॉल्ट कर सकता है।

रिपब्लिकन ने विधेयक पारित करने से इनकार कर दिया है जो सरकार को एक बार फिर ऋण सीमा को निलंबित करने की अनुमति देगा। ऋण सीमा उस राशि की सीमा है जो अमेरिकी सरकार अपने ऋणों का भुगतान करने के लिए उधार ले सकती है। जिससे सोने के भाव में पिछले सप्ताह बढ़ोतरी देखि गई। उधर, चीन में रियल एस्टेट कंपनी एवरग्रांड का भी कर्ज संकट गहरा रहा है।

जिसके कारण वैश्विक बाजार दबाव में है और डिफ़ॉल्ट होने की सम्भावना बढ़ी है। लेकिन अर्थव्यवस्था में कर्ज बढ़ने पर सोने में सेफ हेवन मांग सपोर्ट कर सकती है। नियामक ने भारत में सोने के हाजिर कारोबार और सिल्वर ईटीएफ को भी मंजूरी दी है। गोल्ड एक्सचेंज में इलेक्ट्रॉनिक गोल्ड रिसीप्ट के माध्यम से हाजिर सोने में कारोबार होगा। गोल्ड एक्सचेंज और सिल्वर ईटीएफ कीमती धातुओं के कारोबार को बढ़ाने और कीमतों में समानता और पारदर्शिता रहेगी।

तकनीकी विश्लेषण

इस सप्ताह, कच्चे तेल के बढ़ते हुए भाव के बीच ओपेक की बैठक, अमेरिकी पैरोल के आंकड़े और चीन में बढ़ते कर्ज संकट के बीच साप्ताहिक अवकाश, कीमती धातुओं के भाव को निचले स्तरों से सपोर्ट कर सकते है। दिसंबर वायदा सोने में 45700 रुपये पर सपोर्ट है और 46800 रुपये पर प्रतिरोध है। चांदी में 58000 रुपये पर सपोर्ट और 61000 रुपये पर प्रतिरोध है।

Have you ever thought of getting benefits from a fall in the value of an asset in the portfolio?

Sounds interesting, right.

Well, the answer is Yes.

You can take advantage of the assets whose values are decreasing day by day.

The term is known as tax-loss harvesting. Investors often use tax-loss harvesting to improve stock trading returns.

As honest citizens, paying taxes should be our responsibility so as to ensure the country’s security, progress and well-being.

Actually, no one wants to pay a huge amount of their earnings as income tax. Those, who come under the category of high income, have to pay a huge percentage of tax. For instance, the total tax liability of a salaried person could be around 30% which makes a huge impact on their finances.

Tax-Loss harvesting is the way through which you can increase post-tax returns on investment. With this method, you can maximize wealth aggregation especially at the beginning of the portfolio.

Table of Contents

1. Understanding Tax Loss Harvesting
2. Examples of Tax Loss Harvesting
3. Three Ways to Minimize the Tax

Understanding Tax Loss Harvesting in Simple Terms

To get a brief of tax-loss harvesting and how it helps you minimize your long term capital gains, you need to know how long term capital gain is taxed.

Long term capital gains on equities are re-introduced by the late finance minister Mr Arun Jaitley in 2018.

As per the provision of the financial budget of 2018, any long term gain made from equity investment above 1 Lakh per year is taxable at 10%.

Here, the long term capital gains are the return you make by selling equity investment held for more than 12 months.

If you are a newbie into the stock market or mutual fund, your yearly gain may not necessarily cross the amount of Rs 1 Lakh.

But if you continuously invest and gain share market trading returns, in the long run, you will be in the situation to cross the threshold after some time.

Let’s understand it with an example:

If you invest Rs 5000 per month in equity funds with an average return of 12%, you will easily achieve taxable gains in the span of 2 years.

Here, we present a table where you can see the SIP amount and capital gains with annualized returns of 12 per cent in different periods.

SIP AmountAfter 24 MonthsAfter 36 MonthsAfter 48 MonthsAfter 60 Months5,00015,32535,39665,0761,05,5188,00024,52056,6341,04,1221,68,82912,00036,78084,9511,56,1832,53,24315,00045,9451,06,1891,95,2293,16,55430,00091,9492,12,3783,90,4586,33,108

Hence, people who have large equity portfolios will have huge gains. If you want to pay no tax or less tax, make sure these gains should not exceed the tax-free limit. That’s where tax-loss harvesting comes into play.

Tax Loss Harvesting

Tax-loss harvesting is a way of selling a part of your mutual fund units in order to book long term capital gains and start reinvesting the same amount in the same mutual fund.

Still not understand? Let’s take another example:

Example 1

Let’s assume you have invested Rs 6,00,000 in an equity mutual fund on 21 August 2021 and on 31 August, the value of the investment becomes Rs 6,90,000.

Now, if you redeem the investment, your gain will be Rs 90,000 and hence your tax liability will be zero. As the tax has to be paid only if gains exceed the limit of Rs 1 Lakh.

Now, if you reinvest the entire amount i.e. Rs 6,90,000 after redeeming in the same mutual fund, it will be counted as a fresh investment along with the date of investment.

If the investment value increases up to Rs 7,50,000 post 1 year. When you redeem the investment amount, your gain will be Rs 60,000 which is less than Rs 1 Lakh.

Had you not redeemed Rs 6,90,000 and reinvested in the same mutual fund, your long term gains would have been up to Rs 1,50,000 and hence, you are required to pay 10% tax on the amount which exceeds Rs 1,00,000.

Now, you have to pay tax for the amount above Rs 1 Lakh. hence, the tax applicable would be Rs 5000 i.e (10% of 50,000).

Still, Confused? Let’s take another example:

Example 2:

Tax-loss harvesting allows you to book losses and use the loss amount to offset capital gains in another instrument in order to minimize liability.

For instance, if you invest Rs 2 Lakh in a fund on 2 August 2021 and on August 15, 2021, your investment value would is Rs 1.85 Lakhs. Hence, your long term capital loss is Rs 15,000.

Now, if you sell the investment instrument, it is obvious you are suffering from losses, but you can use the entire loss amount to offset any long term capital gain in order to bring down tax liability.

For instance, within two years, you sell a long term capital gain and book a profit of Rs 1.5 Lakh. Since the capital gain is above 1 lakh i.e Rs 50,000, you have to pay tax.

Now, you may decrease the total tax applied on Rs 50,000 by subtracting the Rs 15000 from Rs 1.5 Lakh.

Hence, your long-term capital gain will be Rs 1.5 Lakh - Rs 15,000 = Rs 1,35,000. Now you need to pay tax only at Rs 35,000 not on Rs 50,000.

This is how the tax-loss harvesting strategy works. It saves tax for many investors.

Ways of Minimizing Tax Liability

Here are three ways a person can minimize their tax liability:

Tax Planning

Tax planning is a legal method used to minimize tax liability. This can be achieved with proper tax planning. A person can easily minimize tax by taking advantage of many things such as exemptions and deductions.

Tax Avoidance

Many people compare tax avoidance with tax evasion. However, they are different t methods. Tax avoidance is a legal method that helps investors to minimize their taxes. It is the use of smart strategies to reduce a person’s tax liability.

Tax Evasion

Tax evasion is an illegal way of minimizing tax, which is also known as tax fraud. We strongly advise you to stay away from such fraudulent methods.

The Bottom Line

Tax gain and tax loss harvesting are the best ways to minimize the tax you normally pay on equity trading investments. Do remember, you have to reinvest the money as soon as you get the redemption amount in your account.