GIFT Nifty indicated that Indian equity indices BSE Sensex and NSE Nifty 50 may see a muted opening on Tuesday. Here’s a look on things to know before markets open today.
GIFT Nifty traded down by 3.50 points or 0.01% at 25,361.50 indicating a muted opening for domestic indices NSE Nifty 50 and BSE Sensex on Tuesday. Previously, on Monday, the NSE Nifty 50 ended up by 42.80 points or 0.17% to settle at 25,278.70. while the BSE Sensex jumped 194.07 points or 0.24% to 82,559.85.
“The markets began the week on a positive note and registered modest gains during a subdued trading session. After an initial uptick, the Nifty fluctuated within a narrow range before closing at the 25,278.70 level. Sectoral trends were mixed, keeping traders engaged, with FMCG and financials outperforming, while metals and pharma ended in negative territory. The broader indices were slightly on the back foot, finishing marginally in the red,” said Ajit Mishra – SVP, Research, Religare Broking.
Mishra also added that Markets are gradually inching higher each day, buoyed by favorable global cues and rotational buying in heavyweight stocks. However, the ongoing underperformance of banking majors continues to dampen sentiment. Given this scenario, we recommend aligning trades with the prevailing trend and seeking buying opportunities on market dips.
Key things to know before share market opens on September 3, 2024
Wall Street
Share markets fell slightly on Monday as investors braced for a data-packed week culminating in a U.S. jobs report that could decide whether a rate cut expected this month will be regular or super-sized, reported Reuters. The tech-heavy Nasdaq Composite ended up by 197.19 points or 1.13% at 17,713.62. The S&P 500 ended higher by 56.44 points or 1.01% at 5,648.40, while the Dow Jones Industrial Average is trading down by 76.42 point or 0.18% at 41,486.66.
US Dollar
The US Dollar Index (DXY), which measures the value of the dollar against a basket of six foreign currencies, traded up by 0.07% at 101.74.
Crude Oil
WTI crude prices are trading at $73.95 down by 0.15%, while Brent crude prices are trading at $77.23 down by 0.06%, on Tuesday morning.
Asian Markets
Shares in the Asia-Pacific region are trading in mixed territory on Tuesday morning. The Asia Dow is trading up by 0.48%, where as the Japan’s Nikkei 225 is trading in green, up by 0.67%, South Korea’s KOSPI index is traded higher by 0.12% and the benchmark Chinese index Shanghai Composite trading in red, down by 0.01%.
FII, DII Data
Foreign institutional investors (FII) bought shares worth Rs 1,735.46 crore, while domestic institutional investors (DII) mopped shares worth Rs 356.37 crore on September 2, 2024, according to the provisional data available on the NSE.
F&O Ban
The NSE added Balrampur Chini Mills, and Hindustan Copper in the F&O Ban on September 3, 2024.
Technical View
Commenting on the Technical outlook of Nifty Rupak De, Senior Technical Analyst, LKP Securities, said that The Nifty failed to surpass the opening high after a positive start. Heavy call writing was observed at the 25,300 strike, and overall, call writers significantly outnumbered put writers throughout the day. In the near term, the trend might remain sideways to negative as long as it stays below 25,300. On the lower end, however, the correction may be limited to 25,000, where significant put writing has been observed.
Bank Nifty Outlook
“Bank Nifty is currently trading within a key range, with immediate support at 51,250 and resistance at 51,500. The intraday trend appears sideways, suggesting a cautious approach. Traders are advised to adopt a ‘buy on dips’ strategy, particularly around the 51,250 support level. A significant support zone lies at 50,900, which could offer a strong buying opportunity if the index stabilizes at these levels. Profit booking may continue at higher levels, but the overall strategy remains focused on accumulating on declines,” said Riyank Arora, Technical Analyst, at Mehta equities.