GIFT Nifty indicated that Indian equity indices BSE Sensex and NSE Nifty 50 may see a muted opening on Wednesday. Here is all you need to know before the market opens.
GIFT Nifty trading flat as index was up 2 points or 0.01% at 21,631 indicating a muted opening for domestic indices NSE Nifty 50 and BSE Sensex on Wednesday. Previously, on Tuesday, the NSE Nifty 50 lost 215.50 points or 0.99% to settle at 21,522.10, while the BSE Sensex closed 801.67 points or 1.11% higher at 71,139.90.
Key things to know before share market opens on January 31, 2024
Wall Street
The three major US benchmark indices closed on a mixed note, with the S&P 500 closing at a near flatline at 4,926.16. The tech-heavy Nasdaq Composite slipped 0.72% at 15,515.55. The 30-stock Dow Industrial Average inched up 133.86 points, or 0.35%, to 38,467.31.
US Dollar
The US Dollar Index (DXY), which measures the dollar’s value against a basket of six foreign currencies, traded higher by 0.08% at 103.48.
Crude Oil
WTI crude prices are trading at $77.60 down by 0.28%, while Brent crude prices are trading at $82.21 down by 0.35%, on Wednesday morning.
Asian Markets
Shares in the Asia-Pacific region were majorly in negative territory. The Asia Dow is trading down by 1.12%. Similarly, Japan’s Nikkei 225 is trading in the red, down by 0.56% and Hong Kong’s Hang Seng index is trading lower by 0.25%. The benchmark Chinese index Shanghai Composite is trading lower by 0.31% during the early trade hours.
F&O Ban
ZEE Entertainment Enterprises
FII, DII Data
Foreign institutional investors (FII) sold shares worth net Rs 1,970.52 crore. Domestic institutional investors (DII) bought shares worth net Rs 1,002.70 crore on January 30, 2024, according to the provisional data available on the NSE.
Technical View
Commenting on the Technical outlook of Jatin Gedia, technical research analyst at Sharekhan by BNP Paribas, said that the Nifty opened on a positive note however it was unable to carry on the positive momentum. It witnessed selling pressure and closed in the negative down ~215 points. On the daily charts we can observe that the Nifty has faced resistance around the 21750 mark which coincides with the 61.82% fibonacci retracement level of the fall from 22124 – 21137. The Nifty has failed to cross that level and thus ending the counter trend rally. The hourly and the daily momentum indicator are having a negative crossover which is a sell signal. Thus, both price and momentum indicator is suggesting towards weakness. Considering the upcoming budget during the week the Nifty is likely to consolidate within the range 21200 – 22000 from short term perspective and a decisive close beyond this range is likely to result into trending moves in that direction.
Bank Nifty Outlook
“Bank Nifty managed to survive the day without much price damage as it close the day marginally in the red down 75 points. Structurally the bank Nifty seems to be consolidating and we expect it to resume its pullback towards 46000 from short term perspective,” said Jatin Gedia, technical research analyst at Sharekhan by BNP Paribas.
