Stock market today: 176 stocks hit 52-week highs, 76 stocks at 52-week lows as Nifty 50, Sensex end lower

Stock market today: On Wednesday, 176 stocks hit their 52-week highs, including Aadhar Housing Finance Ltd, Aditya Birla Capital Ltd, Amber Enterprises India Ltd, Asahi India Glass Ltd, Bajaj Finance Ltd, Canara Bank, Indian Bank, JSW Steel Ltd, Maruti Suzuki India Ltd, Muthoot Finance Ltd, State Bank of India, Tata Investment Corporation Ltd, and Tata Steel Ltd.

In contrast, 76 stocks touched 52-week lows, with notable names like Crompton Greaves Consumer Electricals Ltd, Praj Industries Ltd, Aurionpro Solutions Ltd, Ganesha Ecosphere Ltd, Quess Corp Ltd, Spicejet Ltd, and Symphony Ltd.

India's stock market indices experienced declines for the fourth straight day on Wednesday, marking their longest period of losses since mid-July, as worries about the effects of US visa restrictions continued to impact sentiment.

The Nifty 50 decreased by 0.45% to end at 25,056.90, while the BSE Sensex fell 0.47% to close at 81,715.63.

Over the past four sessions, the 50-stock index has dipped 1.4%, with the Sensex experiencing a 1.6% decline.

The information technology index dropped 0.7%, bringing its total losses to 4.3% since the US introduced a $100,000 fee for new H-1B visa applications on Sunday. Reports indicate that the market capitalization of the 10 companies within this sub-index has decreased by 1.2 trillion rupees ($13.5 billion) this week.

The IT sector, which depends heavily on US revenue, often sends employees to work directly with clients on-site. On Tuesday, the US presented a proposal aimed at revising the H-1B visa selection process to prioritize more highly-skilled and better-compensated applicants.

India is also looking to expedite discussions for a trade agreement with the US following the latter's implementation of tariffs as high as 50% on its exports.

Vaibhav Vidwani, a Research Analyst at Bonanza, noted that investors seemed wary due to ongoing geopolitical tensions and concerns about trade, which counterbalanced the optimism brought by GST rationalization and a favorable monsoon, both seen as supportive for growth.

Looking forward, market sentiments appear to be varied. Vidwani anticipates some short-term consolidation amid cautious trading as the US Federal Reserve's position and India-US trade discussions develop.

Positive catalysts may arise from forthcoming corporate earnings that are predicted to demonstrate improvement in the next couple of quarters. At the same time, continued policy reforms, government capital expenditures, and a robust domestic consumption landscape are likely to create a supportive long-term environment for the market.

Nifty 50 Outlook

According to Nilesh Jain, Head – Technical and Derivatives Research Analyst (Equity Research), Centrum Broking Ltd, the market continued to face selling pressure for the fourth straight session, with the Nifty 50 maintaining its sequence of lower highs and lower lows.

Jain said that it has now completed a 38.2% Fibonacci retracement of the rally from 24,404 to the recent peak of 25,448, with the key level around 25,050. A decisive move below this level could open the door for further downside towards 24,920, which coincides with the 50-day and 100-day moving averages, as well as the 50% retracement of the recent uptrend.

"Despite the ongoing weakness, the broader structure remains positive as long as Nifty holds above 24,900. On the upside, a breakout above 25,150 would invalidate the current bearish setup and may trigger a short-covering rally towards 25,300," said Nilesh.

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