GIFT Nifty indicated that Indian equity indices BSE Sensex and NSE Nifty 50 may see a positive opening on Wednesday. Here is all you need to know before the market opens.
GIFT Nifty traded up by 31 points or 0.14% at 22,265.50 indicating a positive opening for domestic indices NSE Nifty 50 and BSE Sensex on Wednesday. Previously, on Tuesday, the NSE Nifty 50 ended up by 74.70 points or 0.34% to settle at 22,196.95, while the BSE Sensex gained by 349.24 points or 0.48% to 73,057.40.
“Domestic equities gained for 6th consecutive day, trading in unchartered territory. After a subdued start, Nifty bounced back into positive territory and made yet another new high above 22200 zone. The index closed with gains of 75 points at 22197 levels. Broader market, however, ended in the red. Sector-wise it was a mixed bag with buying seen in Banking, Financials, and Realty,” said Siddhartha Khemka, Head – Retail Research, Motilal Oswal Financial Services Ltd.
Khemka also added that, We expect market sentiment to strengthen further as the prospect of a pre-election rally is quite strong. Further, the BSE market cap has touched a record high of $4.7 trillion, thus, showing strength in the market. Globally, investors await the release of US FOMC meeting minutes as this would provide some insights into the US Fed’s future direction.
Key things to know before share market opens on February 21, 2024
Wall Street
Big tech dragged the U.S. stock market away from its all-time highs, with Wall Street awaiting Nvidia Corp.’s earnings Wednesday for confirmation it can meet the sky-high expectations set by the artificial intelligence boom, Bloomberg reported. The tech-heavy Nasdaq Composite ended down by 167.15 points or 1.06% at 15,608.50. The S&P 500 dipped by 28 points or 0.56% at 4,977.57, while the Dow Jones Industrial Average ended lower by 66.66 points or 0.17% at 38,561.33.
US Dollar
The US Dollar Index (DXY), which measures the value of the dollar against a basket of six foreign currencies, traded down by 0.03% at 104.05.
Crude Oil
WTI crude prices are trading at $77.19 up by 0.20%, while Brent crude prices are trading at $82.46 up by 0.14%, on Wednesday morning.
Asian Markets
Shares in the Asia-Pacific region are trading in mixed territory on Wednesday morning. The Asia Dow is trading down by 0.54%, whereas Japan’s Nikkei 225 is trading in red, down by 0.26%, Hong Kong’s Hang Seng index ended higher by 0.57% and the benchmark Chinese index Shanghai Composite ended higher by 0.42%.
FII, DII Data
Foreign institutional investors (FII) offloaded shares worth net Rs 1,335.5 crore, while domestic institutional investors (DII) bought shares worth net Rs 1.491.3 crore on February 20, 2023, according to the provisional data available on the NSE.
F&O Ban
The NSE has added Balrampur Chini Mills, Bandhan Bank, Biocon, Canara Bank, GMR Infra, GNFC, Hindustan Copper, India Cement, Indus Tower, National Aluminium, RBL Bank, Sail, and Zee Entertainment Enterprise on February 21, 2024.
Technical View
Commenting on the Technical outlook of Nifty Rupak De, Senior Technical Analyst, LKP Securities, said The Nifty continues its upward momentum following a consolidation breakout on the daily chart. The trend remains robust as it has sustained itself both above the psychological level of 22000 and the 21EMA on the daily timeframe. On the higher end, it may move towards 22400/22600 once the index decisively surpasses the 22200 mark. Support on the lower end is identified at 22000.
Bank Nifty Outlook
“The Bank Nifty bulls maintained their dominance, closing above the 47000 level, signaling a strong buy mode. Immediate support is now established at 46700, marked by fresh put writing. The index is anticipated to reach the short-term target of 48000, with any dip viewed as a buying opportunity,” said Kunal Shah, Senior Technical & Derivative Analyst at LKP Securities.