The Indian stock market benchmark indices, Sensex and Nifty 50, are likely to see a tepid opening on Thursday, tracking mixed cues from global markets, on optimism over the signing of the US-Iran peace deal, despite a hawkish US Federal Reserve policy.
The trends on Gift Nifty also indicate a muted start for the Indian benchmark index. The Gift Nifty was trading around 24,056 level, a discount of nearly 37 points from the Nifty futures’ previous close.
On Wednesday, the Indian stock market extended its rally for the fourth consecutive session, with the benchmark Nifty 50 closing above 24,000 level.
The Sensex gained 347.14 points, or 0.45%, to close at 77,155.62, while the Nifty 50 settled 96.55 points, or 0.40%, higher at 24,085.70.
Here’s what to expect from Sensex, Nifty 50 and Bank Nifty today:
Sensex Prediction
Sensex is holding an uptrend continuation formation on daily and intraday charts, which is largely positive.
“We are of the view that the short-term market outlook remains positive, and for trend-following traders, 77,000 would act as a key support level. Above this, Sensex could rally to 77,500 – 77,800. On the flip side, if the index falls below 77,000, we could see an intraday correction,” said Shrikant Chouhan, Head Equity Research, Kotak Securities.
Below this level, he believes Sensex might retest the levels of 76,700 – 76,500.
Mayank Jain, Market Analyst, Share.Market by PhonePe said that the technical support for Sensex lies at 75,400 – 75,600 levels, while resistance is seen at 77,800 – 78,000 zone.
“The major structural demand zone stands solid between 75,400 and 75,600, guaranteeing a strong medium-term safety net. With Sensex comfortably trading above 77,000, the bulls are setting their sights on the next critical supply range of 77,800 – 78,000,” said Jain.
Nifty Options Data
In the derivatives segment, significant call writing was seen at the 24,100 and 24,200 strikes, while put writing was concentrated at the 24,000 and 23,900 levels, suggesting immediate support near the 24,000 zone and resistance around higher strike levels.
Nifty 50 Prediction
Nifty 50 index formed a bullish candlestick pattern on the daily timeframe, indicating sustained buying interest and positive market sentiment.
“A small bullish candle was formed on the daily chart with minor upper and lower shadow. Technically, this market action signals range bound movement with positive bias around the crucial hurdle of 24,100 levels (previous swing high of 26 May),” said Nagaraj Shetti, Senior Technical Research Analyst at HDFC Securities.
According to him, the underlying short-term trend of Nifty 50 continues to be positive with range movement, and a decisive move above 24,100 could open more upside towards 24,500 levels (200-day EMA) in the near term. Immediate support is placed at 23,900.
Riyank Arora, Associate Vice President – HNI & Derivatives, Hedged.in noted that the Nifty 50 index is approaching the important resistance zone of 24,100 –24,200.
“Nifty struggled to sustain above higher levels, suggesting that bulls may face difficulty extending the rally immediately. On the downside, immediate support is placed near 23,950, followed by a stronger support zone around 23,800 – 23,850. A breach of these levels could trigger further corrective action,” said Arora.
Bank Nifty Prediction
Bank Nifty index ended 287.90 points, or 0.50%, higher at 57,585.05 on Wednesday, forming a small-bodied candle on the daily chart with wicks on either side, indicating indecision.
“The broader trend remains firmly bullish as the Bank Nifty index continues to trade above its key short- and long-term moving averages. Additionally, rising green histogram bars on the MACD indicate strengthening bullish momentum, suggesting that the underlying trend remains positive. Going ahead, the immediate resistance for Bank Nifty is placed in the 57,900 – 58,000 zone,” said Sudeep Shah, Head – Technical and Derivatives Research at SBI Securities.
He believes any sustainable move above this zone could result in Bank Nifty extending its pullback towards 58,400, followed by 58,800 in the short term.
“On the downside, the immediate support for Bank Nifty is placed in the 57,100 – 57,000 zone,” Shah added.
Bajaj Broking Research highlighted that in the daily chart, the 20 days EMA has generated a bullish crossover above its 50 days EMA, thus supporting the positive bias in the Bank Nifty index.
“We expect the Bank Nifty index to head towards 58,300 and 59,000 levels in the coming weeks being the measuring implication of the recent four-week range breakout (52,700 – 55,500). Index sustaining above 55,500 – 56,000, will keep the short-term bias positive and any dips should be viewed as buying opportunities,” said the brokerage firm.
Only a decisive breach below the 55,500 support level would negate the positive outlook, it added.
Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.
