Will Nifty gain, trade flat or fall under 17,600- Check 7 things to know before share market opens on 24 April

Will Nifty gain, trade flat or fall under 17,600? Check 7 things to know before share market opens on 24 April

The SGX Nifty signaled that domestic benchmark indices NSE Nifty and BSE Sensex might open in the green, as Nifty futures traded 44 points higher at 17,683.5 on the Singaporean exchange. On Friday, Nifty and Sensex ended flat, with Sensex settling at 59,655 and Nifty maintaining its position just under 17,625.

“Mounting uncertainty in both global and domestic markets has kept Indian equities highly volatile. Weak signals of a softening job market and declining manufacturing activity in the US have raised fears of a possible recession. Despite the RBI MPC’s unanimous decision to pause rates, its minutes revealed that its members continue to hold concerns about high inflation. However, the market received some support towards the closing bell from the IT and FMCG sectors, facilitating its recovery,” said Vinod Nair, Head of Research, Geojit Financial Services.

Asian Markets

Asian shares started cautiously on Monday in a week packed with economic data and central bank meetings. MSCI’s broadest index of Asia-Pacific shares outside Japan eased 0.1%, while Japan’s Nikkei nudged up 0.2%.

Crude Oil

Oil prices slipped on Monday as concerns about rising interest rates, the global economy and the outlook for fuel demand outweighed support from the prospect of tighter supplies on OPEC+ supply cuts. Brent crude slipped 48 cents, or 0.6%, to $81.18 a barrel by 0045 GMT while U.S. West Texas Intermediate crude was at $77.39 a barrel, down 48 cents, also 0.6% lower.

FII/DII Data

Foreign institutional investors (FII) net sold shares worth Rs 2,116.76 crore, while domestic institutional investors (DII) net purchased equities worth Rs 1,632.66 crore on 21 April, according to the provisional data available on the NSE.

F&O Ban

The National Stock Exchange has no securities on its F&O ban list for 24 April. 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.

Technical View

“Nifty is sustaining above the support of previous upside broken trend line at 17,600 levels in the last few sessions, but was not able to show any sustainable upside bounce from the said support. This is not a good sign and this indicates possible downside breakout of the support. The short term trend of Nifty remains weak and there is a possibility of some more weakness in the coming week. A decisive break below 17,600-17,550 levels could open sharp decline for the market. Immediate resistance is at 17,700 levels,” said Nagaraj Shetti, Technical Research Analyst, HDFC Securities.

Bank Nifty View

“Bank Nifty index witnessed a volatile trading session and it closed around the critical support zone of 42,000. The index is consolidating in a broad range between 42,000-42,500 and a break on either side will have trending moves. The index if it fails to hold the support of 42,000 on a closing basis will witness further downside toward the 41,500 level,” said Kunal Shah, Senior Technical & Derivatives Analyst at LKP Securities.