Bulls may pull Nifty towards 18,700; key things to watch out for before share market opening bell

Bulls may pull Nifty towards 18,700; key things to watch out for before share market opening bell

The domestic indices, BSE Sensex and NSE Nifty 50, are expected to open in the red as SGX Nifty and Asian markets were trading lower. Nifty Futures were trading 29 points or 0.16% lower at 18,465. “Nifty clocked yet another highest close in the current calendar year. If we meticulously observe the daily time frame chart, we can see today’s low coinciding with the ‘5-day EMA’ level. Since the slope of this key moving average is upward, the buying emerged precisely after testing it. We continue to remain sanguine and we reiterate on a new high coming soon in Nifty,” said Sameet Chavan, Chief Analyst-Technical and Derivatives, Angel One.

Global Watch

What Do The Charts Say

“A reasonable positive candle was formed on the daily chart with minor lower shadow. This pattern indicates an emergence of buying interest in the market after a couple of days of choppy movement. The immediate resistance of 18,350 (lower top of 18th Jan) has been surpassed and Nifty closed above it. New swing high was formed at 18,427. The positive chart pattern like higher tops and bottoms continued as per daily time frame chart and some of important opening upside gaps of the last one month remains unfilled. This is a positive indication and one may expect further upside in the near term. The next upside targets to be watched around 18600-18700 levels in the next few sessions. Immediate support is placed at 18300,” said Nagaraj Shetti, Technical Research Analyst, HDFC Securities.

Levels To Watch For

“As per volume profile 18,250 may act as immediate support, while on the upside 18,550 may act as an immediate hurdle. On the other hand, Bank Nifty has support at 41,900 while resistance is placed at 42,900. On a broader basis, Nifty 500 had 249 advances while 251 declines suggesting a relatively flat participation. Our benchmark Indices are making new highs for last couple of days, suggesting good participation by bulls; we would still recommend being stock specific and keep booking profits on regular intervals until these crucial levels are sustained by our benchmark indices,” said Ameya Ranadive, Equity Research Analyst, Choice Broking.

IPO Watch

Bikaji Foods share price is going to make its debut on Dalal Street today. According to the information available on BSE website, effective from 16 November 2022, the equity shares of Bikaji Foods International Ltd shall be listed and admitted to dealings on the BSE and NSE in the list of ‘B’ group of securities. Bikaji Foods IPO listing will take place in Special Pre-open Session (SPOS). Meanwhile, Global Health, the operator of the Medanta chain of hospitals, is also set to debut on bourses today. The shares are expected to be little changed or gain only moderately at the opening despite a healthy equity market environment.

Stocks under F&O Ban on NSE

BHEL, Delta Corp, Sun TV Network, Gujarat Narmada Valley Fertilizers and Chemicals, and Punjab National Bank are the five stocks under the NSE F&O ban list for 16 November. Securities thus banned under the F&O segment include companies where derivative contracts have crossed 95 percent of the market-wide position limit.

FII/DII Data

Foreign institutional investors (FIIs) have net offloaded shares worth Rs 221.32 crore, while domestic institutional investors (DIIs) net offloaded shares worth Rs 549.28 crore on Tuesday, according to the provisional data available on the NSE.