GIFT Nifty traded up 0.11% at 19,717, during Thursday’s early trading session, indicating a positive opening for domestic indices NSE Nifty 50 and BSE Sensex. The benchmark domestic indices ended Wednesday’s trading session in positive territory. The NSE Nifty 50 gained 0.26% to settle at 19,716.45, while the BSE Sensex added over 170 points to 66,118.69.
“The impending rebound in select heavyweights like Reliance and ITC largely contributed to the recovery. We are eyeing 19,750 in Nifty as an immediate hurdle and its break may prompt further rebound else profit taking would resume. Amid all, the scheduled monthly expiry of derivative contracts would keep the volatility high so plan your trades accordingly,” said Ajit Mishra, SVP – Technical Research, Religare Broking.
Crude Oil
Oil prices are on a surge on Thursday. Brent crude prices are trading up 0.84% at $97.36 per barrel, while WTI crude prices are trading at $94.68, up 1.07%.
Asian Market
Shares in the Asia-Pacific region are trading broadly in red on Thursday morning. The Asia Dow is trading down 0.55%, whereas the benchmark Chinese index, the Shanghai Composite, is up 0.28%, while Japan’s Nikkei 225 is down 0.87%. Meanwhile, Hong Kong’s Hang Seng index is also trading down 0.41%, at 17,539.48.
FII, DII Data
Foreign institutional investors (FII) offloaded shares worth net Rs 354.35 crore, while domestic institutional investors (DII) added shares worth net Rs 386.28 crore on September 27, 2023, according to the provisional data available on the NSE.
F&O Ban
The NSE has added Delta Corp and India Cements to its F&O ban list for September 28, 2023.
Technical View
Commenting on the technical outlook of Nifty 50, Jatin Gedia – Technical Research Analyst at Sharekhan by BNP Paribas said, “It has managed to close above the 40-day moving average 19,630 and the 61.82% Fibonacci retracement level 19,604, which is a sign of strength. The daily momentum indicator has reached the equilibrium line indicating that the correction has matured, and it can start the new cycle which is a bullish sign. Thus, both price and momentum indicators suggest that today’s low of 19,554 shall be a short-term bottom and the index is likely to witness a pullback over the next few trading sessions. In terms of levels, 19,600 – 19,550 is the crucial support zone while 19,880 – 19,900 shall act as an immediate hurdle zone.”
Bank Nifty Outlook
On Wednesday, the Bank Nifty index slipped 0.08% to 44,588.30. “The Bank Nifty bulls displayed resilience by defending the key support level at 44,200, which coincided with the rising trendline support. However, the index is currently trading below its 20-day moving average (20DMA) positioned at 45,000. A decisive break above this level could trigger significant short-covering. Currently, the Bank Nifty is trading within a broad range of 44,200 to 45,000. A clear break on either side of this range will likely lead to trending moves. Nevertheless, within this range, the overall sentiment remains bullish, suggesting that a ‘buy on dip’ approach may be favorable,” sai Rupak De, Senior Technical Analyst at LKP Securities.