GIFT Nifty indicated that Indian equity indices BSE Sensex and NSE Nifty 50 may see a positive opening on Tuesday. Here is all you need to know before the market opens.
GIFT Nifty traded up by 46.50 points or 0.21% at 22,213 indicating a positive opening for domestic indices NSE Nifty 50 and BSE Sensex on Tuesday. Previously, on Monday, the NSE Nifty 50 ended up by 48.85 or 0.22% to settle at 22,104.05 while the BSE jumped 111.67 points or 0.15% to 72,776.14.
“The week kicked off with market volatility, but by the end, it managed to eke out marginal gains. Initially bearish sentiments gave way to a recovery, particularly among key heavyweights, which not only erased losses but also propelled the index to close near the day’s peak at 22,125.50. Sector-wise, there was a mixed bag, with pharma, metal, and realty sectors witnessing gains, while auto and energy sectors saw declines. This trend extended to the broader market as well, with midcaps edging slightly higher while smallcaps ended in negative territory,” said Ajit Mishra – SVP, Research, Religare Broking.
Mishra also added that, Despite the persistent rise in the volatility index, the Nifty found support at the critical 21,800 level. Anticipated stability in banking majors and select heavyweights in sectors such as IT and energy may foster further upward movement, although breaching the 22,300-22,400 range could prove challenging. Given this scenario, participants are advised to adjust their positions cautiously and refrain from overly aggressive trading strategies.
Key things to know before share market opens on May 14, 2024
Wall Street
Global stock indexes were little changed on Monday while the U.S. dollar index eased as investors awaited this week’s U.S. inflation data that is expected to be key for the outlook for U.S interest rates, Reuters reported. The tech-heavy Nasdaq Composite ended up by 47.37 points or 0.29% at 16,388.24. The S&P 500 ends down by just 1.26 points or 0.02% at 5,221.42, while the Dow Jones Industrial Average ended lower by 81.33 points or 0.21% at 39,431.51.
US Dollar
The US Dollar Index (DXY), which measures the value of the dollar against a basket of six foreign currencies, traded down by 0.04% at 105.22.
Crude Oil
WTI crude prices are trading at $79.29 up by 0.21%, while Brent crude prices are trading at $83.55 up by 0.23%, on Tuesday morning.
Asian Markets
Shares in the Asia-Pacific region are trading in mixed territory on Tuesday morning. The Asia Dow is trading up by 0.73%, where as the Japan’s Nikkei 225 is trading in green, up by 0.78%, Hong Kong’s Hang Seng index is ended higher by 0.80% and the benchmark Chinese index Shanghai Composite is ended down by 0.21%.
FII, DII Data
Foreign institutional investors (FII) offloded shares worth net Rs 4,498.92 crore, while domestic institutional investors (DII) mopped shares worth net Rs 3562.75 crore on May 13, 2024, according to the provisional data available on the NSE.
F&O Ban
The NSE has added Balrampur Chini Mills, Canara Bank, GMR Infra, Hindustan Copper, Vodafone Idea, Piramal Enterprises, PNB, Sail, and Zee Entertainment Enterprise in F&O on May 14, 2024.
Technical View
Commenting on the Technical outlook of Nifty Rupak De, Senior Technical Analyst, LKP Securities, said The Nifty has formed a hammer pattern on the daily chart, indicating a potential bullish reversal following a correction. Additionally, the stock has found support around the previous swing low on the daily timeframe. However, the index’s recovery may encounter resistance in the 22150-22200 zone, and only a decisive move above 22200 could trigger a stronger rally in the market. On the lower end, support is situated at 21950.
Bank Nifty Outlook
“The Bank Nifty index saw a strong recovery from lower levels and managed to hold onto its support at the 100-day exponential moving average (EMA). There’s a potential for a pullback towards its 20-day moving average (DMA), positioned at 48,200. As long as the index maintains the support level of 47,200 on the downside, where bullish activity is evident, the index remains in a buy mode,” said Kunal Shah, Senior Technical & Derivative Analyst at LKP Securities.
