The GIFT Nifty was flat during Tuesday’s early trading session, down by 0.01% at 19,677, indicating a tepid opening for domestic indices NSE Nifty 50 and BSE Sensex. On Monday, the Nifty 50 added 80.3 points to close at 19,597.3. On the other hand, Sensex jumped 0.35% to end at 65,953.48.
“The Indian market began the data-centric week with modest gains, primarily propelled by strong performances in the pharma and IT sectors. Global markets portrayed a mixed picture, with US futures exhibiting positivity in response to a moderation in bond yields, while European markets experienced declines due to weak economic data. Caution prevailed in the market due to the anticipation of upcoming inflation data and the RBI’s monetary policy,” said Vinod Nair, Head of Research at Geojit Financial Services.
Key things to know before share market opens on 8 August, 2023
Wall Street
U.S. stocks finished higher on Monday, regaining some of the ground lost last week, as investors added positions ahead of Thursday’s highly awaited U.S. inflation report, according to Reuters. S&P 500 gained 0.90%, the Nasdaq Composite rose 0.61%, and the Dow Jones Industrial Average added 1.16%.
Asian Markets
Shares in the Asia-Pacific region were trading in the red on Tuesday. China’s Shanghai Composite and Shenzhen Component were up by 0.3% and 0.16% respectively. Japan’s Nikkei 225 was in the green, up 0.32%. South Korea’s Kospi declined 0.42% while Hong Kong’s Hang Seng fell 1.28%. The Taiwan Weighted index recorded a loss of 0.16%.
Crude Oil
Oil prices rose in early trade on Tuesday as supply concerns arising from production cuts by Saudi Arabia and Russia supported the market.
FII/DII Data
Foreign institutional investors (FII) sold shares worth net Rs 1,892.77 crore, while domestic institutional investors (DII) bought shares worth net Rs 1,080.80 crore on 7 August, according to the provisional data available on the NSE.
F&O Ban
The National Stock Exchange has Hindustan Copper, Gujarat Narmada Valley Fertilizers & Chemicals, Indiabulls Housing Finance, India Cements, Balrampur Chini Mills and Piramal Enterprises securities on its F&O ban list for 8 August. 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.
Bank Nifty Outlook
“The Bank Nifty index is currently in a consolidation phase, with a visible support level at 44,500 and a resistance level at 45,100. Traders should consider utilizing opportunities presented within this range to establish positions according to their respective strategies,” said Kunal Shah, Senior Technical & Derivative analyst at LKP Securities.
Technical View
“The negative chart pattern like lower tops and bottoms is intact as per daily timeframe chart. Presently, the market is in line with another lower top formation, which needs to be confirmed with decline from the highs. Immediate support is at 19,450 and any upside from here could encounter strong resistance around 19,700 levels,” said Nagaraj Shetti, Technical Research Analyst, HDFC Securities.