Will Nifty scale past key 21000 level in trade today- 9 things to know before the share market opens

Will Nifty scale past key 21000 level in trade today? 9 things to know before the share market opens

GIFT Nifty traded flat at 21,074.5 down merely 0.01%, indicating a flat opening for domestic indices NSE Nifty 50 and BSE Sensex on Friday. Previously, on Thursday, the NSE Nifty 50 dropped 36.55 points or 0.17% to settle at 20,901.15, while the BSE Sensex slipped 132.04 points or 0.19% to 69,521.69.

“Markets consolidated in a range after the recent surge and ended almost unchanged. After the initial downtick, the Nifty oscillated in a narrow band and finally settled at 20,901.15 levels. Meanwhile, a mixed trend on the sectoral front kept the traders busy wherein energy and pharma posted decent gains while FMCG and metal settled lower. Amid all, the market breadth was inclined on the advancing side, thanks to the upbeat midcap and smallcap pack,” said Ajit Mishra, SVP – Technical Research, Religare Broking.

Key things to know before share market opens on December 8, 2023RBI Policy

The Reserve Bank of India’s Monetary Policy Committee (MPC) is holding its three-day meeting to decide the central bank’s policy and Governor Shaktikanta Das will announce the MPC’s decision today December 8, at 10 am.

Wall Street

Wall Street’s major indices settled higher on Thursday. The tech-heavy Nasdaq Composite surged 1.37% to settle at 14,339.99. The S&P 500 advanced 0.80% to settle at 4,585.59, and the Dow Jones Industrial Average gained 0.17% to 36,117.38.

US Dollar

The US Dollar Index (DXY), which measures the value of the dollar against a basket of six foreign currencies, traded up 0.05% at 103.60.

Crude Oil

WTI crude prices are trading at $70.13 up 1.11%, while Brent crude prices are trading at $74.89 up 1.13%, on Friday morning.

Asian Markets

Shares in the Asia-Pacific region are trading on a mixed note on Friday morning. The benchmark Chinese index Shanghai Composite is up 0.11% and Hong Kong’s Hang Seng index is trading up 0.11%, while the Asia Dow is trading down 0.26%, and Japan’s Nikkei 225 is down 1.39%.

FII, DII Data

Foreign institutional investors (FII) offloaded shares worth net Rs 1,564.03 crore, while domestic institutional investors (DII) sold shares worth net Rs 9.66 crore on December 7, 2023, according to the provisional data available on the NSE.

F&O Ban

The NSE has added Delta Corp, Indiabulls Housing Finance, India Cements, Zee Entertainment and SAIL to its F&O ban list for December 7, 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 psychological level of 21,000 has acted as a stiff resistance and the Nifty is facing selling pressure around those levels. Also considering the sharp run-up since the past few trading sessions a consolidation was overdue. The hourly momentum indicator has a negative crossover and is still away from the equilibrium line hence we can expect the consolidation to continue over the next few trading sessions. On the downside crucial support is placed at 20,800 – 20,770 and a dip towards this zone should be used as a buying opportunity as the overall trend is still positive and this is a brief pause in the overall up move. On the upside immediate hurdle is placed at 21,060 – 21,100.”

Bank Nifty Outlook

The Bank Nifty index ended flat at 46,841.40, up merely 6.85 points or 0.01% on Thursday. “The Bank Nifty index exhibited sideways momentum in the session preceding the RBI policy announcement. The lower-end support for the index is situated at 46,500-46,400, and as long as it maintains levels above this zone, the stance remains in a buy-on-dip mode. Immediate resistance on the upside is identified at 47,000, and a decisive breakthrough at this level is anticipated to propel the index further upwards towards the 47,500 mark,” said Kunal Shah, Senior Technical & Derivative analyst at LKP Securities.