Less expense ratio implies better returns over the long term

Expense Ratio

ETF has been able to closely match its benchmark's returns

Tracking Error

ETF has not been able to generate better price return than bank FD

Return vs FD Rates

Good time to consider, as ETF is not in overbought zone

Entry Point

Indian frontline indices broke their four-session losing streak after banks and auto stocks chipped in to be counted following massive selling pressure in IT stocks. The mood was upbeat also because the December CPI inflation eased to its four-month low of 5.22%. While the S&P BSE Sensex settled at 76,499.63, gaining by 169.62 points or 0.22%, the broader Nifty closed at 23,176.05, higher by 90.10 points or 0.39%.Commenting on the day’s action, Rupak De, Senior Technical Analyst at LKP Securities called the day’s trade as choppy as he decoded the Nifty chart highlighting the formation of a bullish Harami Cross pattern. “A bullish Harami pattern, especially after a significant correction, often signals a potential short-term recovery. The Nifty appears positive for the short term as long as it remains above 23,135. On the upside, it could move towards 23,400, and a decisive move above 23,400 may lead to higher levels,” De said. Stock Ideas

Market Trading Guide: Maruti Suzuki, SBI Life are among 4 stock recommendations for Wednesday - Stock Ideas

Indian headline indices broke a four-session losing streak due to gains in banks and auto stocks, despite pressure on IT stocks. The December CPI inflation eased to a four-month low, contributing to the positive market sentiment. Analysts highlighted the formation of a bullish Harami Cross pattern on the Nifty chart.

Ahead of Market: 10 things that will decide stock market action on Wednesday

The Indian market closed in the green on Tuesday after falling for 4 consecutive sessions in a row. The BSE Sensex rose more than 160 points while the Nifty50 closed above 23,100 levels. Market Summary

Breakout Stocks: How to trade Adani Power, Adani Energy and Adani Total Gas on Wednesday? - Market Summary

“If the market moves above that, it could bounce back to 23,400-23,425/77,500-77,600,” according to Shrikant Chouhan, head equity research, Kotak Securities.

Trade Setup For Jan. 15: Nifty Eyes 23,360 For Reversal

Sharwan Goyal, Head of Passive, Arbitrage, and Quant Strategies at UTI AMC, shares insights into market dynamics amidst an earnings slowdown. With the Nifty down 12% from its peak, he highlights potential sectoral opportunities and gives his views on strategies for navigating market volatility in the near term. Fund Manager Talk

Sharwan Goyal discusses market outlook and sectoral opportunities amid earnings slowdown - Fund Manager Talk

The daily chart continues to display a negative pattern with lower tops and bottoms, indicating a potentially further downward trend. The current upside bounce could lead to another lower-top formation in the short term. If Nifty moves higher, it could face a strong resistance at the recent down gap from January 13 around the 23,350 levels. According to Nagaraj Shetti of HDFC Securities, the near-term trend remains weak, and the bounce could present a sell-on-rise opportunity near 23,350, with immediate support at 23,050 levels.

Tech View: 23,350 key hurdle for Nifty; weak trend persists. How to trade on Wednesday

Deven Choksey believes the market has largely priced in current global and domestic challenges, including the earnings slowdown and movements in the dollar index. He notes that if the dollar index exceeds 114, it could trigger panic selling and create a market bottom. Historically, such bottoms have led to strong recoveries, with markets offering 40-50% returns over the next one to one-and-a-half years. Market Outlook – Global & domestic influences

Deven Choksey on why largecap stocks are key to Nifty’s strong recovery - Market Outlook – Global and domestic influences

The BSE Sensex and Nifty closed higher on Tuesday, with the Sensex rising 170 points (0.22%) to 76,499.63 and the Nifty adding 90.10 points (0.39%) to finish at 23,176.

Gainers & Losers: Adani Group stocks and 5 others hogged limelight today

Benchmark indices Sensex and Nifty bounced back on January 14, 2025, after four days of sharp decline on easing retail inflation and a rebound in global markets.

Sensex, Nifty rebound amid easing inflation, buying in bank, energy stocks

Jio Financial Services Ltd and Zomato Ltd are likely to be included in the Nifty50 Index in the upcoming rejig of the benchmark index, suggests a report from JM Financial Services.

Jio Financial, Zomato may enter Nifty50; check likely inflows, expectations and targets

Sensex climbed 437.73 points or 0.57 per cent to 76,767.74. Nifty stood at 23,219.55, up 133.60 points or 0.58 per cent. In the broader market, every two stocks advanced for even one that declined.

Sensex, Nifty: Why stock market is rising today; what’s ahead?

DSP Nifty 50 ETF objective is to provide return that closely correspond to the total returns of the securities as represented by the underlying index, subject to tracking error

DSP Nifty 50 ETF

Average daily traded value of the ETF is high

DSP Nifty 50 ETF

DSP Nifty 50 ETF

Return vs FD Rates
Fixed Deposit rate is a virtually risk-free rate where the investor assumes almost no risk on their investment. If the ETFs price return is lower than this rate, investors are better off investing the amount in a FD

Entry Point
High demand for an ETF increases its price. If the price is pushed up to a level which is not justified, then it's considered to be in the overbought zone, which is not a good time to buy the ETF

News & Opinions

Market Trading Guide: Maruti Suzuki, SBI Life are among 4 stock recommendations for Wednesday - Stock Ideas

Ahead of Market: 10 things that will decide stock market action on Wednesday

Breakout Stocks: How to trade Adani Power, Adani Energy and Adani Total Gas on Wednesday? - Market Summary

Trade Setup For Jan. 15: Nifty Eyes 23,360 For Reversal

Sharwan Goyal discusses market outlook and sectoral opportunities amid earnings slowdown - Fund Manager Talk

Tech View: 23,350 key hurdle for Nifty; weak trend persists. How to trade on Wednesday

Deven Choksey on why largecap stocks are key to Nifty’s strong recovery - Market Outlook – Global and domestic influences

Gainers & Losers: Adani Group stocks and 5 others hogged limelight today

Sensex, Nifty rebound amid easing inflation, buying in bank, energy stocks

Jio Financial, Zomato may enter Nifty50; check likely inflows, expectations and targets

DSP Nifty 50 ETF

Return vs FD RatesFixed Deposit rate is a virtually risk-free rate where the investor assumes almost no risk on their investment. If the ETFs price return is lower than this rate, investors are better off investing the amount in a FD

Entry PointHigh demand for an ETF increases its price. If the price is pushed up to a level which is not justified, then it's considered to be in the overbought zone, which is not a good time to buy the ETF

News & Opinions

Market Trading Guide: Maruti Suzuki, SBI Life are among 4 stock recommendations for Wednesday - Stock Ideas

Ahead of Market: 10 things that will decide stock market action on Wednesday

Breakout Stocks: How to trade Adani Power, Adani Energy and Adani Total Gas on Wednesday? - Market Summary

Trade Setup For Jan. 15: Nifty Eyes 23,360 For Reversal

Sharwan Goyal discusses market outlook and sectoral opportunities amid earnings slowdown - Fund Manager Talk

Tech View: 23,350 key hurdle for Nifty; weak trend persists. How to trade on Wednesday

Deven Choksey on why largecap stocks are key to Nifty’s strong recovery - Market Outlook – Global and domestic influences

Gainers & Losers: Adani Group stocks and 5 others hogged limelight today

Sensex, Nifty rebound amid easing inflation, buying in bank, energy stocks

Jio Financial, Zomato may enter Nifty50; check likely inflows, expectations and targets

Return vs FD Rates
Fixed Deposit rate is a virtually risk-free rate where the investor assumes almost no risk on their investment. If the ETFs price return is lower than this rate, investors are better off investing the amount in a FD

Entry Point
High demand for an ETF increases its price. If the price is pushed up to a level which is not justified, then it's considered to be in the overbought zone, which is not a good time to buy the ETF