GIFT Nifty indicated that Indian equity indices BSE Sensex and NSE Nifty 50 may see a positive opening on Monday. Here is all you need to know before the market opens.
GIFT Nifty traded down by 8.50 points or 0.04% at 23,031 indicating a lacklustre opening for domestic indices NSE Nifty 50 and BSE Sensex on Monday. Previously, on Friday, the NSE Nifty 50 ended down by 10.55 or 0.05% to settle at 22,957.10 while the BSE ends marginally lower by just 7.65 points or 0.01% to 75,410.39.
“Markets traded quietly after Thursday’s surge and ended nearly unchanged. Following a flat start, the Nifty oscillated within a narrow range throughout the session but managed to briefly reach the new milestone of 23,000. Meanwhile, a mixed trend across sectors kept traders engaged, with auto, banking, and financial sectors performing well, while FMCG and realty experienced profit-taking. The broader indices also had a muted session, closing almost flat,” said Ajit Mishra – SVP, Research, Religare Broking.
Mishra also added that, It’s common to see a pause after a strong upward move, and traders should view any dip around 22,750-22,850 in Nifty as a buying opportunity. While key sectors are contributing to the upward movement, we are now seeing more selective participation. Therefore, it is advisable to focus on stock selection, with a preference for large-cap and large mid-cap stocks.
Key things to know before share market opens on May 27, 2024
Wall Street
US Stocks rose after data showed American consumers tempered inflation expectations, bolstering sentiment regarding prospects for Federal Reserve rate-cuts this year, Bloomberg reported. The tech-heavy Nasdaq Composite ended up by just 184.76 points or 1.10% at 16,920.79. The S&P 500 ends higher by 36.88 points or 0.70% at 5,304.72, while the Dow Jones Industrial Average ended little higher by just 4.33 points or 0.01% at 39,069.59.
US Dollar
The US Dollar Index (DXY), which measures the value of the dollar against a basket of six foreign currencies, traded down by 0.03% at 104.72.
Crude Oil
WTI crude prices are trading at $77.88 up by 0.10%, while Brent crude prices are trading at $82.25 up by 0.11%, on Monday morning.
Asian Markets
Asian markets traded in mixed territory on Monday. The Asia Dow is trading down by 0.45%, where as the Japan’s Nikkei 225 is trading in green, up by 0.17%, Hong Kong’s Hang Seng index is ended lower by 1.38% and the benchmark Chinese index Shanghai Composite is ended down by 0.88%.
FII, DII Data
Foreign institutional investors (FII) sold shares worth Rs 944.83 crore, while domestic institutional investors (DII) bought shares worth Rs 2,320.32 crore on May 24, 2024, according to the provisional data available on the NSE.
F&O Ban
The NSE has added Bandhan Bank, Biocon, GNFC, Hindustan Copper, Vodafone Idea, Indian Cement, NALCO, Piramal Enterprises, and Punjab National Bank in F&O on May 27, 2024.
Technical View
Commenting on the Technical outlook of Nifty Rupak De, Senior Technical Analyst, LKP Securities, said The Nifty remained sideways during the day after crossing above 23,000. Sentiment might remain subdued in the next few days, with the index ranging between 22,950 and 23,050. Heavy call and put writing activity at 23,000 suggests a possible range-bound trade in the near term. Only a decisive fall below 22,950 might take the index towards 22,800. On the other hand, a sustained movement above 23,050 might lead to a meaningful rally.
Bank Nifty Outlook
“The Bank Nifty remained strong throughout the day, bolstered by strength in HDFC Bank. Going forward, sentiment is likely to remain positive as long as the index stays above 48,500. Any dips towards 48,500 might attract buying interest. On the higher end, immediate resistance is placed at 49,000, above which the index might move towards 49,500. On the lower end, immediate support lies at 48,800,” said Rupak De, Senior Technical Analyst, LKP Securities.
