GIFT Nifty indicated that Indian equity indices BSE Sensex and NSE Nifty 50 may see a lacklustre opening on Friday. Here’s a look on things to know before markets open today.
GIFT Nifty traded up by 7 points or 0.03% at 24,462.50 indicating a lacklustre opening for domestic indices NSE Nifty 50 and BSE Sensex on Friday. Previously, on Thursday, the NSE Nifty 50 ended down by 7.40 points or 0.03% to settle at 24,406.10 while the BSE Sensex fell 109.09 points or 0.14% to 80,039.80.
“Markets remained volatile on the monthly expiry day and ended nearly flat, continuing the current consolidation trend. Weak global cues and pressure on major banking stocks led to a gap-down start, but recovery in select heavyweights minimized losses. Ultimately, Nifty closed at 24,406.10. Sector-wise, energy, auto, and pharma performed well despite the choppiness, while metal and banking sectors ended lower. The broader indices remained almost unchanged,” said Ajit Mishra – SVP, Research, Religare Broking.
Mishra also added that Markets are showing significant resilience during this consolidation phase, so we continue to recommend looking for buying opportunities on dips as long as Nifty holds above the 24,200 level. Given the mixed trends across sectors, it is crucial to focus on stock selection. In addition to earnings reports, the performance of global indices, especially in the US, will be closely watched for further cues.
Key things to know before share market opens on July 26, 2024
Wall Street
The S&P 500 and Nasdaq Composite ended a fickle session weaker on Thursday, failing to regain ground lost in the previous day’s tech-triggered sell-off as investors grappled with the likely direction of megacaps, reported Returns. The tech-heavy Nasdaq Composite ended down by 160.69 points or 0.93% at 17,181.72. The S&P 500 ended lower by 27.91 points or 0.51% at 5,399.22, while the Dow Jones Industrial Average is up by 81.20 point or 0.20% at 39,935.07.
US Dollar
The US Dollar Index (DXY), which measures the value of the dollar against a basket of six foreign currencies, traded down by 0.02% at 104.35.
Crude Oil
WTI crude prices are trading at $78.34 up by 0.08%, while Brent crude prices are trading at $82.42 up by 0.06%, on Friday morning.
Asian Markets
Shares in the Asia-Pacific region are trading in mixed territory on Thursday morning. The Asia Dow is trading down by 2.95%, where as the Japan’s Nikkei 225 is trading in green, up by 0.07%, Hong Kong’s Hang Seng index is traded marginally lower by 0.06% and the benchmark Chinese index Shanghai Composite ended down by 0.26%.
FII, DII Data
Foreign institutional investors (FII) offloaded shares worth Rs 2,605.49 crore, while domestic institutional investors (DII) mopped shares worth Rs 2,431.69 crore on July 25, 2024, according to the provisional data available on the NSE.
F&O Ban
There are no stocks added in F&O on July 26, 2024.
Technical View
Commenting on the Technical outlook of Nifty Rupak De, Senior Technical Analyst, LKP Securities, said that The Nifty slipped in the initial trades but recovered almost the entire loss during the day. On the lower end, the index found support at the upper band of the rising channel. Also, on a closing basis, the Nifty managed to hold above the 21 EMA. The trend for the short term is likely to remain sideways as long as it remains within the bands of 24,200 and 24,600. The momentum might continue to remain sideways until there is a breakout on either side. A decisive fall below 24,200 might trigger a serious correction. On the higher end, a sustained move above 24,600 might induce a fresh leg of the rally in the market.
Bank Nifty Outlook
“The Bank Nifty was an underperforming sector as compared to Nifty in yesterday’s trading session. It is likely to find stiff resistance in the 51,900-52,000 area on an immediate basis. On the downside, the support zone lies at 50,800 / 50,500 while the resistance is seen at 51,250-51,350 / 51,900-52,000.,” said Tejas Shah, Technical Research, JM Financial & BlinkX.
