GIFT Nifty traded down 0.20%, at 19,573.5 during Tuesday’s early trading session, indicating a negative opening for domestic indices NSE Nifty 50 and BSE Sensex. The benchmark domestic indices ended September’s last trading session in positive territory. The NSE Nifty 50 surged 0.75% to settle at 19,638.30, while the BSE Sensex added 320.09 points to 65,828.41.
“The Indian market witnessed a rebound as positive GDP data from Britain instilled confidence among its global peers. However, the market is facing stiff resistance at higher levels due to insipid liquidity and a lack of triggers to overcome the bears. The upside risk to domestic inflation may recede with the return of a good monsoon in September. This, in turn, could provide the RBI with leeway to maintain a pause in the upcoming policy meeting next week,” said Vinod Nair, Head of Research at Geojit Financial Services.
Crude Oil
Oil prices are trading lower on Tuesday. WTI crude prices are trading at $87.89, down 1.05%, while Brent crude prices are trading at $89.73 down 1.07%.
Asian Market
Shares in the Asia-Pacific region are trading in red on Tuesday morning. The Asia Dow is trading down 1.24%, whereas the benchmark Chinese index, the Shanghai Composite, is up 0.10%, while Japan’s Nikkei 225 is down 1.29%. Meanwhile, Hong Kong’s Hang Seng index is down as much as 2.79%.
FII, DII Data
Foreign institutional investors (FII) offloaded shares worth net Rs 1,685.70 crore, while domestic institutional investors (DII) added shares worth net Rs 2,751.49 crore on September 29, 2023, according to the provisional data available on the NSE.
F&O Ban
The NSE has not added any stock to its F&O ban list for October 3, 2023.
Technical View
Commenting on the technical outlook of Nifty 50, Rupak De, Senior Technical analyst at LKP Securities said, “Nifty ended the month of September with gains, following a weak August closing. The recent selling pressure was halted around the 50EMA. However, we need to close above 19,750 to witness a decent rally over the short term. A close or sustained move above 19,750 might take Nifty on a ride towards 20,500-20,700. On the flip side, a fall below 19,470 might trigger the resumption of the downtrend.”
Bank Nifty Outlook
On Froday, Bank Nifty index added 283.60 points, or 0.64%, to settle at 44,584.55. “Bank Nifty witnessed a pullback and as a result it managed to close around the 20 week moving average (44,584) which is a positive sign. We believe that the Bank Nifty is witnessing loss of momentum on the downside which is evident from the positive divergence on the hourly time frame. On the upside we expect a pullback towards 45,000 – 45,200 zone from short term perspective,” said Jatin Gedia – Technical Research Analyst at Sharekhan by BNP Paribas.