GIFT Nifty indicated that Indian equity indices BSE Sensex and NSE Nifty 50 may see a negative opening on Monday. Here’s a look at the key stocks to watch in trade.
GIFT Nifty traded down by 51 points or 0.21% at 24,364.50 indicating a negative opening for domestic indices NSE Nifty 50 and BSE Sensex on Monday. Previously, on Friday, the NSE Nifty 50 ended up by 21.70 points or 0.09% to settle at 24,323.85 while the BSE Sensex fell 53.07 points or 0.07% to 79,996.60.
“The markets experienced profit-taking and ended nearly flat, as expected. After an initial gap down, the Nifty traded within a range and settled near the upper end of it. Key sectors such as energy, pharma, and FMCG saw the most gains, while banking and financials lagged. Meanwhile, the broader indices continued their outperformance, each gaining over half a percent,” said Ajit Mishra – SVP, Research, Religare Broking.
Mishra also added that We anticipate the index to continue consolidating, with a generally positive outlook. Traders should concentrate on stock selection and trade management, keeping in mind the potential for increased volatility.
Key things to know before share market opens on July 8, 2024
Wall Street
Wall Street stock indexes closed firmer on Friday, with the tech-heavy Nasdaq and benchmark S&P 500 hitting record highs, as new data showing U.S. labor market weakness boosted expectations for interest rate cuts as early as September, reported Reuters. The tech-heavy Nasdaq Composite ended up by 164.46 points or 0.90% at 18,352.76. The S&P 500 ended higher by 30.17 points or 0.54% at 5,567.19, while the Dow Jones Industrial Average ended higher by 67.87 point or 0.17% at 39,375.87.
US Dollar
The US Dollar Index (DXY), which measures the value of the dollar against a basket of six foreign currencies, traded up by 0.11% at 105.
Crude Oil
WTI crude prices are trading at $83.06 down by 0.46%, while Brent crude prices are trading at $86.60 down by 0.42%, on Monday morning.
Asian Markets
Shares in the Asia-Pacific region are trading in mixed territory on Monday morning. The Asia Dow is trading down by 0.38%, where as the Japan’s Nikkei 225 is trading in red, down by 0.09%, Hong Kong’s Hang Seng index is ended lower by 2.06% and the benchmark Chinese index Shanghai Composite ended down by 0.26%.
FII, DII Data
Foreign institutional investors (FII) bought shares worth Rs 1,241.33 crore, while domestic institutional investors (DII) offloaded shares worth Rs 1.651.36 crore on July 05, 2024, according to the provisional data available on the NSE.
F&O Ban
The NSE added Aditya Birla Fashion and Retail, Bandhan Bank, GNFC, Hindustan Copper, India Cement, and Piramal Enterprises in F&O on July 8, 2024.
Technical View
Commenting on the Technical outlook of Nifty Rupak De, Senior Technical Analyst, LKP Securities, said The index started with a gap down. However, after the initial weakness, Put writers returned heavily. The 24200 level witnessed heavy writing on the put side, marking a short-term support for Nifty. The last-hour spike in the Nifty shows the resilience of the bullish trend. This strength is likely to prevail in the market until it breaks below 24200 decisively. A fall below 24200 might induce profit booking in the market.
Bank Nifty Outlook
“The Bank Nifty index witnessed a volatile trading session, mainly declining due to a fall in HDFC Bank. The index is currently stuck in a range with resistance visible at 53000-53200, where aggressive call writing is observed, and support at the 52300-52100 zone. The index needs to break decisively on either side for trending moves. However, within the range, the view remains bullish, and declines should be utilized to buy the index,” Kunal Shah, Senior Technical & Derivative Analyst at LKP Securities.
