GIFT Nifty indicated that Indian equity indices BSE Sensex and NSE Nifty 50 may see a positive opening on Thursday. Here is all you need to know before the market opens.
GIFT Nifty traded up by 128.50 points or 0.59% at 22,053 indicating a positive opening for domestic indices NSE Nifty 50 and BSE Sensex on Thursday. Previously, on Wednesday, the NSE Nifty 50 ended up by 21.65 points or 0.10% to settle at 21,839.10, while the BSE gained 89.64 points or 0.12% to 72,101.69.
“Markets traded volatile and ended almost unchanged, taking a breather after Tuesday’s decline. After the initial uptick, it resumed decline in no time however recovery in select heavyweights pared losses as the session progressed. On the sectoral front, a mixed trend continued wherein energy, FMCG and realty edged higher while metal and financials ended in the red,” said Ajit Mishra, SVP – Technical Research, Religare Broking Ltd.
Mishra also added that, We may see a breather after the recent fall but the tone is likely to remain negative. Participants should continue with the “sell on rise” approach until Nifty decisively reclaims 22,100 level. Also, we reiterate our preference for index majors over others and avoid adding to the loss making positions.
Following a two-day Federal Open Market Committee (FOMC) meeting, the US Federal Reserve announced its decision to maintain the benchmark interest rates unchanged at 5.25% to 5.50% for the fifth consecutive meeting, aligning with expectations from financial analysts.
Key things to know before share market opens on March 21, 2024
Wall Street
Wall Street traders refrained from making any big bets ahead of the Federal Reserve decision as they braced for whether Jerome Powell would throw cold water on rate-cut hopes, Bloomberg reported. The tech-heavy Nasdaq Composite ended up by 202.62 points or 1.25% at 16,369.41. The S&P 500 gained by 46.11 points or 0.89% at 5,224.62, while the Dow Jones Industrial Average ended higher by 401.37 points or 1.03% at 39,512.13.
US Dollar
The US Dollar Index (DXY), which measures the value of the dollar against a basket of six foreign currencies, traded down by 0.55% at 103.27.
Crude Oil
WTI crude prices are trading at $81.70 up by 0.53%, while Brent crude prices are trading at $86.44 up by 0.57%, on Thursday morning.
Asian Markets
Shares in the Asia-Pacific region are trading in positive territory on Thursday morning. The Asia Dow is trading up by 0.38%, where as the Japan’s Nikkei 225 is trading in green, up by 1.45% to new all time high, Hong Kong’s Hang Seng index is ended higher by 0.08% and the benchmark Chinese index Shanghai Composite is ended up by 0.55%.
FII, DII Data
Foreign institutional investors (FII) offloaded shares worth net Rs 2,599.2 crore, while domestic institutional investors (DII) bought shares worth net Rs 2,667.5 crore on March 20, 2024, according to the provisional data available on the NSE.
F&O Ban
The NSE has added Balrampur Chini Mills, Biocon, Hindustan Copper, Indus Tower, Piramal Enterprise, RBL Bank, Tata Chemicals, and Zee Entertainment Enterprise in F&O on March 21, 2024.
Technical View
Commenting on the Technical outlook of Nifty Rupak De, Senior Technical Analyst, LKP Securities, said The index remained volatile ahead of the Fed’s policy meeting. The overall sentiment remains negative as the index closed below the previous consolidation low. Additionally, the index ended the session below the critical moving average. However, a further fall is anticipated below the recent swing low on the hourly chart, which is positioned around 21700. On the higher end, resistance is placed at 21900-22000.
Bank Nifty Outlook
“The Bank Nifty encountered another round of volatility, with the ongoing struggle between bulls and bears persisting, particularly ahead of the US Fed meeting. Key support lies within the 46000-45800 zone, and maintaining these levels on a closing basis suggests a continued bullish stance. Immediate resistance is positioned at 47000, coinciding with the 20DMA, and a decisive close above this level could reignite the upward trend, targeting levels around 48000-48500,” said Kunal Shah, Senior Technical & Derivative Analyst at LKP Securities.