Will Nifty climb over 19500 or fall in trade- See GIFT Nifty, FII data, F&O ban, crude, more before market opens

Will Nifty climb over 19500 or fall in trade? See GIFT Nifty, FII data, F&O ban, crude, more before market opens

GIFT Nifty traded flat at 19,463.5 down merely 4 points or 0.02%, indicating a lacklustre opening for domestic indices NSE Nifty 50 and BSE Sensex on Tuesday. Previously on Monday, the NSE Nifty 50 soared 181.15 points or 0.94% to settle at 19,411.75, while the BSE Sensex added as much as 594.91 points to 64,958.69.

“Markets started the week on a firm note and gained nearly a percent, in continuation of the recent rebound. After the gap-up start, Nifty oscillated in a narrow range for most of the day and finally settled around the day’s high at 19398 levels. All the key sectors contributed to the move wherein metal, energy and pharma gained over a percent each. The broader indices also traded in tandem and rose in the range of 0.9%-1.3%,” said Ajit Mishra, SVP – Technical Research, Religare Broking.

Key things to know before share market opens on November 7, 2023Wall Street

US stocks closed slightly higher on Monday as investors awaited guidance from a host of Federal Reserve policymakers later in the week on the central bank’s policy path, with a large amount of bond supply also due to hit the market, reported Reuters. The tech-heavy Nasdaq Composite added 40.50 points or 0.30% at 13,518.78. The S&P 500 rose 7.64 points or 0.18% at 4,365.98, while the Dow Jones Industrial Average gained 34.54 points, or 0.10%, to 34,095.86.

US Dollar

The US Dollar Index (DXY), which measures the value of the dollar against a basket of six foreign currencies, traded up 0.10% at 105.33.

Crude Oil

WTI crude prices are trading at $80.56 down 0.35%, while Brent crude prices are trading at $84.89 down 0.34%, on Tuesday morning.

Asian Market

Shares in the Asia-Pacific region are trading in the red on Tuesday morning. The Asia Dow is trading down 0.59%, Japan’s Nikkei 225 is down 0.67%, the benchmark Chinese index Shanghai Composite is down 0.27% and Hong Kong’s Hang Seng index is also trading down 68%.

FII, DII Data

Foreign institutional investors (FII) offloaded shares worth net Rs 549.37 crore, while domestic institutional investors (DII) added shares worth net Rs 595.70 crore on November 6, 2023, according to the provisional data available on the NSE.

F&O Ban

The NSE has added Gujarat Narmada Valley Fertilizers and Chemicals on its F&O ban list for November 7, 2023.

Technical View

Commenting on the technical outlook of the NSE Nifty 50, Jatin Gedia – Technical Research Analyst at Sharekhan by BNP Paribas, said,”On the daily charts we can observe that the nifty opened gap up for the second consecutive day and has been stretching towards the psychological level of 19,500. The daily momentum indicator has a positive crossover which is a buy signal. The Nifty is currently trading around the upper end of the reverse channel which can act as a make or break from short term perspective. A decisive close above the falling channel can lead to further extension of the current rally. However, there are multiple resistance parameters in the form of the key daily moving averages in the range (19,400 – 19,500) which can restrict further upside. In terms of levels, 19,240 – 19,300 shall act as a crucial support zone while 19,500 – 19,550 is the immediate hurdle zone.

Bank Nifty Outlook

Bank Nifty index added 301.15 points or 0.70% to 43,619.40 on Monday. “The Bank Nifty stayed positive throughout the day. On the higher side, the index closed above the 21-day moving average (21DMA). The trend is expected to remain sideways to positive in the near term. Support on the lower end is located at 43,300 points. On the higher end, a move above 43,700 points could trigger a rally towards 44,500 points,” said Rupak De, Senior Technical analyst at LKP Securities.