GIFT Nifty indicated that Indian equity indices BSE Sensex and NSE Nifty 50 may see a positive opening in Saturday’s special session. Here is all you need to know before the market opens.
GIFT Nifty traded up by 45.50 points or 0.21% at 22,551 indicating a positive opening for domestic indices NSE Nifty 50 and BSE Sensex on Saturday’s special session. Previously, on Friday, the NSE Nifty 50 ended up by 62.25 or 0.28% to settle at 22,466.10 while the BSE soared 253.31 points or 0.34% to 73,917.03.
“The market edged higher, continuing Thursday’s gains, and ended slightly in the green. After an initial dip, the Nifty quickly recovered and then traded within a narrow range to finally close at 22,480.55. Sector performance was mixed, with real estate, auto, and metal sectors leading gains, while IT and pharma sectors closed in the red. Broader indices outperformed the benchmark, gaining between 0.8% and 1.6%” said Ajit Mishra – SVP, Research, Religare Broking.
Mishra also added that, Positive global cues and rotational participation from index heavyweights are helping the index climb higher, though momentum is missing. We thus recommend maintaining a “buy on dips” strategy, with a focus on stock selection.
Key things to know before share market opens on May 18, 2024
Wall Street
U.S. stocks closed lower on Thursday after the Dow (.DJI), opens new tab reached an intra-day high of 40,000 for the first time, as investors continued to recalibrate their rate-cut expectations following data showing a slowdown in inflation, as well as strong corporate earnings results, Reuters reported. The tech-heavy Nasdaq Composite ended dowm by just 12.35 points or 0.07% at 16,685.97. The S&P 500 ends higher by 6.17 points or 0.12% at 5,303.27, while the Dow Jones Industrial Average ended higher by 101.69 points or 0.26% at 39,971.07.
US Dollar
The US Dollar Index (DXY), which measures the value of the dollar against a basket of six foreign currencies, traded unchanged at 104.49.
Crude Oil
WTI crude prices are trading at $83.72 up by 5.67%, while Brent crude prices are trading at $89.29 up by 7.23%, on Saturday morning.
Asian Markets
Asain markerts to remain close on Saturday, and endend in mixed on Friday. The Asia Dow is trading up by 0.08%, where as the Japan’s Nikkei 225 is ended in red, down by 0.34%, Hong Kong’s Hang Seng index is ended higher by 0.91% and the benchmark Chinese index Shanghai Composite is ended up by 1.01%.
FII, DII Data
Foreign institutional investors (FII) bought shares worth Rs 1,616.79 crore, while domestic institutional investors (DII) mopped shares worth Rs 1,556.25 crore on May 17, 2024, according to the provisional data available on the NSE.
F&O Ban
The NSE has added Balrampur Chini Mills, Bandhan Bank, Biocon, Birlasoft, Granules, GMR Infra, Granules, Hindustan Copper, Vodafone Idea, Piramal Enterprises, Sail, India Cement, and Zee Entertainment Enterprise in F&O on May 18, 2024.
Technical View
Commenting on the Technical outlook of Nifty Rupak De, Senior Technical Analyst, LKP Securities, said The Nifty index continued its ongoing momentum but failed to surpass the 22,500 mark, where the highest open interest is built up on the call side. For the index to achieve its all-time high level in the near term, it needs to break this level decisively. The downside support is placed at 22,300, and dips towards this support level should be seen as an ideal opportunity to initiate long positions.
Bank Nifty Outlook
“The Bank Nifty index managed to close above the level of 48,000 but was unable to surpass the 20DMA, which is placed at 48,200. A break above the 20DMA will lead to further upside towards 49,000, with short covering likely to come into play. The lower-end support is placed at the 47,600-47,500 levels, and as long as the index sustains above this level, the view remains bullish” said Kunal Shah, Senior Technical & Derivative Analyst at LKP Securities.