Stock Market Today, Nifty, Bank Nifty: Benchmark indices NSE Nifty 50 and BSE Sensex may remain volatile on the weekly F&O expiry day as market participants await RBI MPC’s interest rate decision. The GIFT Nifty futures traded 5 points or 0.03% lower at 19,607 in early morning trade. Asian markets were trading mixed – China’s Shanghai Composite Index rose 0.09%, Japan’s Nikkei 225 gained 0.14%, Asia Dow advanced 0.14% while South Korea’s KOSPI fell 0.39% and Hong Kong’s Hang Seng tumbled 0.61%. The US market ended the overnight session in red – Dow Jones Industrial Average (DJIA) sank 0.54%, S&P 500 tanked 0.70% and the tech-heavy Nasdaq plunged 1.17%. On Wednesday, the NSE Nifty 50 rose 61.70 points or 0.32% to 19,632.55 and BSE Sensex climbed 149.31 points or 0.23% to 65,995.81. In sectoral indices, Bank Nifty fell 83.75 points or 0.19% to 44,880.70, Nifty Financial Services fell 0.21%, Nifty PSU Bank slipped 0.10% and Nifty Realy tanked 1.28% while Nifty IT gained 0.37%, Nifty Pharma surged 0.76%, Nifty Auto climbed 0.93%, Nifty FMCG rose 0.54%, Nifty Metal skyrocketed 2.03% and Nifty Media soared as much as 2.10%.
NSE Nifty 50 Outlook
Nifty trend remains negative; may target 19100
“On the daily charts, we can observe that Nifty is in the process of retracing the entire fall it witnessed from 19,992-19,296. Currently, it is trading around the 19,600-19,650 zone where resistance parameters in the form of the 20-day moving average (19,657) are placed. On the upside crucial Fibonacci retracement levels are placed at 19,648-19,729 where we can expect the selling pressure to emerge. The current rally is a counter-trend pullback that is likely to fizzle out at Fibonacci retracement levels. The momentum setup on the daily and hourly time frame charts are providing divergent signals which can lead to a consolidation in the short term. Overall, the trend is still negative, and we expect the Nifty to target levels of 19,100 from a short-term perspective,” said Jatin Gedia, Technical Research Analyst, Sharekhan by BNP Paribas.
Nifty’s attempt to test 19720-19770 can be ruled out
“Nifty is likely to witness consolidation or profit booking from higher levels. However, an attempt to test 19,720-19,770 can be ruled out. Traders may find buying opportunities if the 19,500 levels are protected,” said Om Mehra, Equity Research Analyst at Choice Broking.
Nifty’s close above 19700 will open path for 20000
“Nifty is positioned in close proximity to a critical resistance zone at 19,640, which aligns with its 20-day moving average (20DMA). A conclusive break above the 19,700 level, especially on a closing basis, would not only signify a reversal of the recent downtrend but also potentially open the path for further upward movement, with an eye towards the 20,000 mark,” said Kunal Shah, Senior Technical & Derivative analyst at LKP Securities.
Nifty could slip till 19470-19440 if it falls below 19550
“After an early morning sell off the Nifty took support near 19,470 and recovered sharply. A promising reversal formation and a higher bottom formation on intraday charts is suggesting a further uptrend from the current levels. For traders, 19,550 would be the trend decider level, above which the index could move up to 19,700-19,735. On the flip side, below 19,550, the uptrend would be vulnerable and below the same, the market could slip till 19,470-19,440,” said Shrikant Chouhan, Head of Research (Retail), Kotak Securities Ltd.
Bank Nifty Outlook
Bank Nifty to target 44000 in short-term
“Bank Nifty’s key hourly moving averages placed in the range of 45,000-45,100 acted as a resistance and faced selling pressure. It did witness a pullback however it closed in the negative. The daily momentum indicator has a negative crossover which is a sell signal. Thus, this pullback should be used as a selling opportunity. On the downside, we expect 44,000 from a short-term perspective,” said Jatin Gedia, Technical Research Analyst, Sharekhan by BNP Paribas.
Bank Nifty’s decisive move expected after RBI policy announcement
“Bank Nifty remains caught in a struggle between the bulls and bears, particularly in anticipation of the upcoming RBI policy. A clear and decisive market move is expected only after the policy announcement, as this event could potentially influence the market sentiment significantly. There is a support level evident at 44,500, while a resistance level stands at 45,150. Breaking above or below either of these levels could trigger sustained trending moves in the index,” said Kunal Shah, Senior Technical & Derivative analyst at LKP Securities.
Bank Nifty support at 44700-44500; resistance at 44900-45000
“Following the sideways to bearish trend since the last couple of days Bank Nifty has closed slightly in red near the important support zones of 44,900 with a hammer candlestick on the daily timeframe. The trend for the coming week can be considered sideways till the time 44,500 and 45,000 zones are broken on either side. Important support zones are at 44,700-44,500 whereas resistance zones are at 44,900-45,000,” said Mitesh Karwa, Research Analyst at Bonanza Portfolio.