Will Nifty snap its gaining streak or cross 17,700- Check 8 things to know before market opens on 11 April

Will Nifty snap its gaining streak or cross 17,700? Check 8 things to know before market opens on 11 April

The SGX Nifty is trading flat, mildly in the green, higher by 14 points. Nifty futures on the Singaporean exchange are at the 17,699 level, indicating a tepid start for the domestic equity indices, BSE Sensex and NSE Nifty. On Monday, the markets extended their gaining streak for the sixth day, as Nifty rose 24 points to settle above 17,600 at 17,624 while Sensex ended flat, eking out mild gains of 14 points.

“Sentiments in the domestic market improved after the RBI’s decision to keep rates unchanged, coupled with positive revisions in GDP and inflation forecasts. The positive quarterly business updates from auto and real estate firms caused strong movements in their respective sectors, but the overall mood was slightly dampened by solid US job data, which raised fears of further rate hikes by the Fed. The release of inflation data in India and the US, along with the FOMC minutes, have now become crucial in determining the market trend,” said Vinod Nair, Head of Research, Geojit Financial Services.

Asian Markets

Stocks in Asia-Pacific traded primarily in the green as Japan’s Nikkei 225 advanced 1.08% and Hong Kong’s Hang Seng index traded up, higher by 1.36%. South Korea’s Kospi soared 0.87% in its first hour of trade. China’s Shanghai Composite traded mildly lower by 0.18% while the Shenzhen Component added 0.1%.

Crude Oil

Oil pricesedged higher on Tuesday as market participants weighed supply cuts from OPEC+ that would tighten the global market against concerns about further interest rate hikes potentially hurting demand. Investors were awaiting a slate of reports on inflation, oil demand and supply due this week that could give the market direction.Brent cruderose 8 cents at $84.26 a barrel by 0004 GMT, while U.S. West Texas Intermediate gained 11 cents to $79.85 a barrel.

FII/DII Data

Foreign institutional investors (FII) net bought shares worth Rs 882.52 crore, while domestic institutional investors (DII) net purchased equities worth Rs 351.50 crore on 10 April, according to the provisional data available on the NSE.

F&O Ban

The National Stock Exchange has no securities on its F&O ban list for 11 April. According to the NSE, stocks are prohibited in the F&O sector when they have exceeded 95% of the market-wide position limit (MWPL). During the F&O ban period, no new positions are permitted for F&O contracts in that stock.

Technical View

“The short term trend of Nifty remains positive. The presence of crucial overhead resistance and an emergence of minor weakness from the highs could indicate further consolidation or minor downward correction for the Nifty from near 17,650-17,700 levels in the coming sessions. Any dips from here could be a buying opportunity and Immediate support is at 17,510 levels” said Nagaraj Shetti, Technical Research Analyst, HDFC Securities.

Bank Nifty View

“The Bank Nifty index faced selling pressure from higher levels after a strong rally last week. The index if fails to sustain above the level of 41,200 can witness some profit booking towards 40,600-40,500 levels. The upper resistance if taken out will lead to further short covering towards the 42,000 level,” said Kunal Shah, Senior Technical & Derivative Analyst at LKP Securities.

Levels To Watch

“Volume profile indicates Index has a strong support around 17,400-17,450 zone. Coming to the OI Data, on the call side, the highest OI observed at 17,700 followed by 17,800 strike prices while on the put side, the highest OI is at 17,500 strike price,” said Deven Mehata, Equity Research Analyst, Choice Broking.