GIFT Nifty traded at 21,148.5 up 57.5 points or 0.27%, indicating a positive opening for domestic indices NSE Nifty 50 and BSE Sensex on Tuesday. Previously, on Monday, the NSE Nifty 50 gained 27.70 points or 0.13% to settle at 20,997.10, while the BSE Sensex added 102.93 points or 0.15% to 69,928.53.
“Markets made a subdued start to the week and ended almost unchanged, taking a breather after the recent surge. After the initial uptick, Nifty remained in a range till the end and finally settled at 20,997.10 level. Meanwhile, a mixed trend on the sectoral front kept the traders busy wherein metal, realty and PSU Banking were in the limelight. Besides, the broader indices put up a good show and gained in the range of 0.7%-0.9%,” said Ajit Mishra, SVP – Technical Research, Religare Broking.
“We are seeing consolidation in Nifty with a positive bias and it has formed an immediate support base around the 20,700-20,800 zone. Traders should continue with a ‘buy on dips’ approach and stay focused on stock selection. We feel positive cues from the US markets could trigger the next leg of the up move so keep a close watch on their performance,” Ajit Mishra added.
Key things to know before share market opens on December 12, 2023
Wall Street
US stocks registered modest gains on Monday but managed to close at new highs for the year, ahead of major market catalysts this week that include inflation readings and the Federal Reserve’s policy announcement, which will strongly influence investor expectations on the path of interest rates, reported Reuters. The tech-heavy Nasdaq Composite advanced 28.51 points or 0.20 % to 14,432.49 and the S&P 500 added 18.07 points or 0.39% to 4,622.44. The Dow Jones Industrial Average added 157.06 points or 0.43% to 36,404.93.
US Dollar
The US Dollar Index (DXY), which measures the value of the dollar against a basket of six foreign currencies, traded down 0.08% at 104.02.
Crude Oil
WTI crude prices are trading at $71.47 up 0.17%, while Brent crude prices are trading at $76.11 up 0.11%, on Tuesday morning.
Asian Markets
Shares in the Asia-Pacific region are trading broadly in green on Tuesday morning. The Asia Dow is trading up 0.47%, Japan’s Nikkei 225 is up 0.66%, Hong Kong’s Hang Seng index is trading up 0.35%, while the benchmark Chinese index Shanghai Composite is down 0.12%.
FII, DII Data
Foreign institutional investors (FII) purchased shares worth net Rs 1,261.13 crore, while domestic institutional investors (DII) sold shares worth net Rs 1,032.92 crore on December 11, 2023, according to the provisional data available on the NSE.
F&O Ban
The NSE has added India Cements, Balrampur Chini Mills, Delta Corp, Hindustan Copper, Indiabulls Housing Finance, National Aluminium Company and SAIL to its F&O ban list for December 12, 2023.
Technical View
Commenting on the technical outlook of the NSE Nifty 50, Jatin Gedia – Technical Research Analyst at Sharekhan by BNP Paribas, said, “On the daily charts we can observe that the Nifty is trading around the level of 21,000 which can act as a psychological resistance from short term perspective. Overall the trend is positive and incase of a dip towards 20,870 – 20,850 it should be used as a buying opportunity. The upmove is likely to be slow and steady considering the sharp runup it witnessed last week. Sector rotation and stock specific action is likely to keep the index elevated from short term perspective.
Bank Nifty Outlook
Bank Nifty index added 52.25 points or 0.06% to settle at 47,314.25 on Monday. “The Bank Nifty index encountered resistance at higher levels, but the overall sentiment remains bullish, supported by a robust foundation at the 46,800 level. The index is currently adopting a buy-on-dip strategy, suggesting that any declines towards the specified support zone present opportunities to initiate long positions. A significant breakthrough and closure above 47,500 are anticipated to trigger additional upward momentum towards the 48,000 mark,” said Kunal Shah, Senior Technical & Derivative analyst at LKP Securities.
