GIFT Nifty traded up 38.5 points or 0.20% at 19496.5, indicating a positive opening for domestic indices NSE Nifty 50 and BSE Sensex on Wednesday. Previously on Tuesday, the NSE Nifty 50 slipped 5.05 points or 0.03% to settle at 19,406.70, while the BSE Sensex dropped 16.29 points or 0.03% to 64,942.40.
“Markets took a breather after three days of advance and ended almost unchanged. After the flat start, Nifty oscillated in a narrow range till the end and finally settled at 19,406.70 levels. A mixed trend was witnessed on the sectoral front wherein pharma and energy posted decent gains while realty and media settled lower. The broader indices managed to edge higher for yet another session wherein smallcap gained nearly a percent,” said Ajit Mishra, SVP – Technical Research, Religare Broking.
“We may see further consolidation in the index in line with the global peers; however there will be no shortage of stock-specific opportunities. Traders should align their positions accordingly, with a focus on sectors that are trading in sync with the benchmark,” Ajit Mishra added.
Key things to know before share market opens on November 8, 2023
Wall Street
US stocks rose on Tuesday, with the S&P 500 and Nasdaq notching their longest streak of gains in two years, as a retreat in US Treasury yields buoyed megacap growth stocks while investors sought more clarity on interest rates from the Federal Reserve, reported Reuters. The tech-heavy Nasdaq Composite gained 121.08 points or 0.90 % at 13,639.86. The S&P 500 advanced 12.40 points or 0.28 % at 4,378.38, while the Dow Jones Industrial Average added 56.94 points or 0.17% to 34,152.8.
US Dollar
The US Dollar Index (DXY), which measures the value of the dollar against a basket of six foreign currencies, traded up 0.07% at 105.62.
Crude Oil
Oil prices fell on Wednesday to their lowest in over three months, after industry data showed a steep build in US crude supplies, while mixed Chinese economic data raised worries about global demand for crude, reported Reuters. WTI crude prices are trading at $77.01 down 0.47%, while Brent crude prices are trading at $81.38 down 0.28%, on Wednesday morning. Adding to pressure on oil prices was a modest recovery in the US dollar from recent lows, which makes oil more expensive for holders of other currencies.
Asian Market
Shares in the Asia-Pacific region are trading broadly in green on Wednesday morning. The Asia Dow is trading up 0.20%, Japan’s Nikkei 225 is up 0.24% and Hong Kong’s Hang Seng index is also trading up 0.03%. The benchmark Chinese index Shanghai Composite is down 0.07%.
FII, DII Data
Foreign institutional investors (FII) offloaded shares worth net Rs 700.28 crore, while domestic institutional investors (DII) added shares worth net Rs 497.21 crore on November 7, 2023, according to the provisional data available on the NSE.
F&O Ban
The NSE has added Gujarat Narmada Valley Fertilizers and Chemicals on its F&O ban list for November 8, 2023.
Technical View
Commenting on the Technical Outlook of the NSE Nifty 50, Rupak De, Senior Technical analyst at LKP Securities, said, “Nifty remained volatile within a narrow range as traders remained uncertain ahead of the Fed Chair’s scheduled speech tomorrow. On the daily chart, Nifty encountered resistance at the 21EMA and closed just below it. If it manages to surpass the 21EMA, which is currently around 19,414, it could potentially head towards the 19,650-19,700 range. On the downside, support is situated at 19,300.”
Bank Nifty outlook
Bank Nifty index added 118.50 points or 0.27% to 43,737.90 on Tuesday. “Bank Nifty recover sharply from intraday dip and closed around the highs for the day. On the downside 43,300 – 43,200 acted as a strong support and is now extending on the upside. it is likely to inch towards 44000. Momentum setup is in sync with the price action and is likely to provide speed to the upmove,” said Jatin Gedia – Technical Research Analyst at Sharekhan by BNP Paribas.
