GIFT Nifty indicated that Indian equity indices BSE Sensex and NSE Nifty 50 may see a subdued opening on Wednesday. Here is all you need to know before the market opens.
GIFT Nifty was 5 points or 0.02% higher at 22,623 indicating a muted start for the domestic indices NSE Nifty 50 and BSE Sensex on Wednesday. Previously, on Tuesday, the NSE Nifty 50 gained 27 points or 0.12% to finish at 22,529, while the BSE Sensex lost 53 points or 0.07% to finish at 73,953.
Key things to know before share market opens on May 22, 2024
Wall Street
The Wall Street or US market rose as investors awaited Nvidia to report its quarterly results. Also, market participants are waiting for the Fed MPC’s minutes of the meeting to be released on Wednesday. Further, the Nasdaq and S&P 500 reached an all-time high. The tech-heavy index Nasdaq Composite gained 37.75 points or 0.22% to settle at 16,832.62. The S&P 500 advanced 13.28 points or 0.25% to settle the session at 5,321.41. The Dow Jones Industrial Average advanced 66.22 points or 0.17% to 39,872.99.
US Dollar
The US Dollar Index (DXY), which measures the dollar’s value against a basket of six foreign currencies, traded lower, 0.01% at 104.61.
Crude Oil
WTI crude prices were trading at $78.13 down by 0.67%, while Brent crude prices were trading at $82.40 down by 0.58%, on Wednesday morning.
Asian Markets
Asian markets were trading majorly lower during the early trade hours on Wednesday. Japan’s Nikkei 225 was down 0.78% trading at 38,643.58. The Asia Dow was trading 1.19% lower at 3,442.82. Hang Seng was up 0.02% to trade at 19,225. The benchmark Chinese index Shanghai Composite was down 0.02% trading at 3,157.
FII, DII Data
Foreign institutional investors (FII) sold shares net worth Rs 1,874.54 crore. However, domestic institutional investors (DII) bought shares net worth Rs 3,548.97 crore on May 21, 2024, according to the provisional data available on the NSE.
Technical View
“On the daily charts, we can observe that the Nifty has been in the recovery process after testing the lower end of the rising channel. It has now reached the 22570 – 22600 zone where resistance in the form of 78.6% Fibonacci retracement level is placed. The hourly momentum indicator has triggered a negative crossover which indicates that the Nifty is likely to consolidate. Considering that prices have reached a crucial level and there is a loss of momentum on the hourly time frame we can expect the Nifty to consolidate over the next few trading session. We should keep a stoploss of 22400 for the long positions,” said Jatin Gedia, Technical Research Analyst at Sharekhan by BNP Paribas.
Bank Nifty Outlook
“We expect the Bank Nifty to rally towards 48320 – 48700 from a short-term perspective. The hourly momentum indicator has a negative crossover which can lead to a sideways price action however no signs of a trend reversal as of now. The trailing stoploss for the long positions should be kept at 47400,” said Jatin Gedia, Technical Research Analyst at Sharekhan by BNP Paribas.
