Will Nifty hold 21,500 levels or fall ahead- See GIFT Nifty, FII data, F&O ban, crude, more before market opens

Will Nifty hold 21,500 levels or fall ahead? See GIFT Nifty, FII data, F&O ban, crude, more before market opens

GIFT Nifty indicated that Indian equity indices BSE Sensex and NSE Nifty 50 may see a negative opening on Wednesday. Here is all you need to know before the market opens.

GIFT Nifty traded down by 29 points or 0.13% at 21,569.50 indicating a negative opening for domestic indices NSE Nifty 50 and BSE Sensex on Wednesday. Previously, on Tuesday, the NSE Nifty 50 gained 31.85 points or 0.15% to settle at 21,544, while the BSE Sensex ended higher by 30.99 points or 0.04% to 71,386.22.

Mishra also added that, The rebound attempt in Nifty shows that bulls are not in mood to loosen their grip easily and supportive global cues could prompt next leg of up move. Meanwhile, participants should limit trades and prefer hedged bets.

Key things to know before share market opens on January 10, 2024Wall Street

U.S. stocks fluctuated after a tech-led bounce as Treasury 10-year yields remained above 4%, while oil climbed, reported Bloomberg. The tech-heavy Nasdaq Composite gained 13.94 points or 0.09% at 14,857.71. The S&P 500 dipped by 7.04 points or 0.15% at 4,756.50, while the Dow Jones Industrial Average ended lower by 157.85 or 0.42%.

US Dollar

The US Dollar Index (DXY), which measures the value of the dollar against a basket of six foreign currencies, traded down by 0.05% at 102.52.

Crude Oil

WTI crude prices are trading at $72.25 up by 0.01%, while Brent crude prices are trading at $77.48 down by 0.14%, on Wednesday morning.

Asian Markets

Shares in the Asia-Pacific region are trading in mixed territory on Wednesday morning. The Asia Dow is trading up by 0.07%, Japan’s Nikkei 225 is green, up by 1.29%, Hong Kong’s Hang Seng index is trading down by 0.21% and the benchmark Chinese index Shanghai Composite is trading higher by 0.20%.

FII, DII Data

Foreign institutional investors (FII) offloaded shares worth net Rs 991 crore, while domestic institutional investors (DII) bought shares worth net Rs 104 crore on January 09, 2023, according to the provisional data available on the NSE.

F&O Ban

The NSE has added Balrampur Chini Mills, Bandhan Bank, Chambal Fertilizer, Delta Corp, Escorts Kubota, Gujarat Narmada Valley Fertilizer and Chemicals, Hindustan Copper, Indian Energy Exchange, India Cements, National Aluminium, Piramal Enterprise, and SAIL to its F&O ban list for January 10, 2024.

Technical View

Commenting on the Technical outlook of Kunal Shah, Senior Technical & Derivative Analyst at LKP Securities, Selling pressure is evident within the 21700-21750 zone, and 21500 stands out as a crucial support level for Nifty. Any significant directional movement for Nifty hinges on two possibilities: achieving a closing above 21750 to reclaim bullish momentum, or experiencing a close below 21500, which could prompt additional selling pressure and potentially pull the Nifty index toward the 21200 mark.

Bank Nifty Outlook

“The Bank Nifty index witnessed continued dominance by bears as selling pressure intensified from higher levels. The index is currently facing a strong hurdle at the 48000 mark, where a significant buildup in open interest is observed on the call side. The immediate support for the index is positioned at the 47000-46900 levels. A breach below this support zone is likely to trigger aggressive selling pressure, potentially leading to further downside momentum,” said Kunal Shah, Senior Technical & Derivative Analyst at LKP Securities.