Will Nifty rise in trade or slip below 18300- Check 7 things to know before share market opens

Will Nifty rise in trade or slip below 18300? Check 7 things to know before share market opens

The SGX Nifty signaled that domestic benchmark indices NSE Nifty and BSE Sensex might open on a negative note, as Nifty futures traded 67.5 points lower at 18,256.5 on the Singaporean exchange. Nifty and Sensex closed Friday’s session flat. Nifty closed just above the 18,300 mark, up by 0.09% while Sensex reclaimed the 62,000 mark upon close.

“A slew of weak economic data points from the US and China hinting towards a slower pace of economic growth disturbed the mood of the Asian market. The risk of a recession in the US escalated as US jobless claims rose to their highest level since October 2021 while producer prices rose at a modest pace. Consequently, US Treasury yields reacted, indicating a potential halt in central bank rate hikes. The domestic market recovered in the second half as investors back home awaited the release of Indian inflation data that is expected to cool down below 5%,” said Vinod Nair, Head of Research, Geojit Financial Services.

Asian Markets

Asian markets traded mixed as Hong Kong’s Hang Seng gained 0.34% while China’s Shanghai Composite was lower by 0.35% respectively, while Taiwan’s benchmark index was 0.15% lower. Japan’s Nikkei 225 gained 0.41%.

Crude Oil

Oil prices slipped on Monday as concerns about fuel demand at top global oil consumers in the U.S. and China offset optimism about tightening supplies from any OPEC+ cuts and a resumption in U.S. buying for reserves. Brent crude futures fell 43 cents, or 0.6%, to $73.74 a barrel by 0130 GMT while U.S. West Texas Intermediate crude was at $69.67 a barrel, down 37 cents, or 0.5%.

FII/DII Data

Foreign institutional investors (FII) net bought shares worth net Rs 1,014.06 crore, while domestic institutional investors (DII) net sold shares worth net Rs 922.19 crore on May 12, according to the provisional data available on the NSE.

F&O Ban

The National Stock Exchange has Canara Bank, Delta Corp, GNFC, Manappuram Finance, BHEL and Punjab National Bank securities on its F&O ban list for 15 May. According to the NSE, stocks are prohibited in the F&O sector when they have exceeded 95% of the market-wide position limit (MWPL). During the F&O ban period, no new positions are permitted for F&O contracts in that stock.

Bank Nifty Outlook

“Bank Nifty bulls continued to hold their long positions and the intraday dip was utilized to maintain strength. The immediate resistance for the index is at 44,000 and the downside support is at 43,500. Karnataka polls will be crucial for the markets which will decide the direction in the next week. The index surpasses the level of 44,000 and will touch its all-time high level,” said Kunal Shah, Senior Technical & Derivatives Analyst at LKP Securities.

Technical View

“The short-term trend of NSE Nifty 50 continues to be range bound with positive bias. A decisive move above 18,400 levels could open the next upside of around 18,600-18,700 levels in the near term. Any weakness from here could find support around 18,180-18,200 levels,” said Nagaraj Shetti, Technical Research Analyst, HDFC Securities.