Stock Market Today, Nifty, Bank Nifty: Benchmark indices NSE Nifty 50 and BSE Sensex may trade higher today amid positive global cues. The GIFT Nifty futures traded 10 points or 0.05% higher at 19,896 in early morning trade. Asian markets were trading in green – China’s Shanghai Composite Index rose 0.01%, South Korea’s KOSPI jumped 1.2%, Hong Kong’s Hang Seng surged 0.71%, Japan’s Nikkei 225 gained 0.48%, and Asia Dow advanced 0.17%. The US market ended the overnight session in green – Dow Jones Industrial Average (DJIA) rose 0.28%, S&P 500 surged 0.15% and the tech-heavy Nasdaq gained 0.21%. On Monday, the NSE Nifty 50 soared 107.75 points or 0.55% to 19,753.80 and BSE Sensex jumped 367.47 points or 0.56% to 66,527.67. In sectoral indices, Bank Nifty surged 183 points or 0.40% to 45,651.10, Nifty Auto jumped 1.2%, Nifty IT soared 1.49% while Nifty FMCG fell 0.69%.
NSE Nifty 50 Outlook
Nifty move above 19800 might induce rally towards 20000
“Nifty showed a positive trend with a green candle on the daily chart, indicating a potential comeback by the bulls. The short-term trend remains positive as Nifty found support at the 21EMA in the previous session. However, the RSI is currently in a bearish crossover, suggesting a potential downside. The lower-end support is at 19700, while resistance is at 19800. A decisive move above 19800 might induce a rally towards the 20000 mark,” said Rupak De, Senior Technical analyst at LKP Securities.
Nifty strong support at 19500-19550
“For investors, the market is buying on dips with a strict stop loss of 19500, and if the Nifty closes below the indicated level, we can expect more profit booking. The volume profile indicates index has strong support around the 19500-19550 zone. Coming to the OI Data, on the call side, the highest OI was observed at 19800 followed by 20000 strike prices while on the put side, the highest OI is at 19600 strike price,” said Deven Mehata, Equity Research Analyst at Choice Broking.
Nifty likely to remain range bound between 19500-20000
“Nifty daily and hourly momentum indicators provide divergent signals which also suggest the absence of trending moves. Considering all the above parameters, we shall continue to maintain that Nifty is likely to remain range bound between 19500-20000. Crucial support levels to keep handy are 19630-19600 and on the upside, 19800-19860 is the immediate hurdle zone,” said Jatin Gedia – Technical Research Analyst at Sharekhan by BNP Paribas.
Nifty could retest 19600-19560 if it slips below 19650
“Nifty took support near the 20-day SMA (Simple Moving Average) and bounced back sharply. A promising reversal formation is indicating a further uptrend from the current levels. For the trend-following traders, 19650 would be the trend decider level, and above the same the market could move up till 19850-19875. On the flip side, below 19650, bulls may prefer to exit from long positions and could retest the level of 19600-19560,” said Shrikant Chouhan, Head of Research (Retail), Kotak Securities Ltd.
Bank Nifty Outlook
Bank Nifty to consolidate between 46500-45000
“Bank Nifty managed to hold on to the 20-day moving average (45392) and witnessed a bounce from that support. The Bollinger bands are contracting which indicates contraction of range and also range-bound price action over the next few trading sessions. Divergent signals from the daily and hourly momentum indicators further support our sideways outlook for Bank Nifty. Overall, we expect the Bank Nifty to consolidate between 46500-45000,” said Jatin Gedia – Technical Research Analyst at Sharekhan by BNP Paribas.
Bank Nifty may fall to 45000-44700 if it breaks below 45300
“The bulls successfully defended the lower levels and found support around the 20-day moving average (20DMA) positioned at 45400, suggesting their willingness to prevent further downside movements. On the other hand, the bears have been holding strong around the 45700-45800 zone, creating a significant resistance area. A break above this resistance zone would signal the bulls taking complete control and potentially lead the index to fresh all-time high levels. However, if the index breaks below the 45300 level, it may indicate further downside potential towards the 45000-44700 levels, as the bears gain momentum and exert additional selling pressure,” said Kunal Shah, Senior Technical & Derivative analyst at LKP Securities.
Bank Nifty resistance at 45850-46000
“Bank Nifty has formed a bullish candlestick pattern on the daily timeframe after taking support from its crucial support zone of 45500-45550 and opening with a gapup amidst increased volatility. A short-term correction can be expected if Bank Nifty trades below 45500 levels. Crucial levels on the downside will be 45600 followed by 45400; Resistance is placed at 45850 followed by 46000,” said Mitesh Karwa, Research Analyst, Bonanza Portfolio.