The Indian stock market benchmark indices, Sensex and Nifty 50, are likely to open higher on Thursday, tracking gains in global markets.
The trends on Gift Nifty also indicate a positive start for the Indian benchmark index. The Gift Nifty was trading around 25,461 level, a premium of nearly 37 points from the Nifty futures’ previous close.
On Wednesday, the Indian stock market ended higher, with the benchmark Nifty 50 closing above 25,300 level.
The Sensex surged 575.45 points, or 0.70%, to close at 82,605.43, while the Nifty 50 settled 178.05 points, or 0.71%, higher at 25,323.55.
Here’s what to expect from Sensex, Nifty 50, and Bank Nifty today:
Sensex Prediction
Sensex formed a bullish candle on daily charts and is also holding an uptrend continuation pattern, which is largely positive.
“We believe that 82,300 would act as a key support zone for day traders. As long as Sensex trades above this level, the positive sentiment is likely to continue. On the higher side, it could move up to 83,200 – 83,400. On the flip side, a move below 82,300 would make the uptrend vulnerable. Below this level, traders may prefer to exit their long positions,” said Shrikant Chouhan, Head Equity Research, Kotak Securities.
Nifty OI Data
In the derivatives segment, Nifty open interest (OI) data showed the highest call writing at the 25,500 strike, while the maximum put OI was concentrated at 24,300.
“This positioning indicates strong resistance around the 25,500 mark. Overall, sentiment remains cautiously optimistic, but a decisive close above 25,500 will be crucial to revive bullish momentum in the near term,” said Amruta Shinde, Technical & Derivative Analyst at Choice Equity Broking.
Nifty 50 Prediction
Nifty 50 crossed the high of the previous bearish engulfing candle and formed a bullish candle on the daily chart, indicating renewed strength.
“A long bull candle was formed on the daily chart, that indicates a counter attack of bulls after one session of weakness on Tuesday. Nifty 50 is currently placed at the edge of breakout of cluster resistance like down sloping trend line, previous swing high and upper range of last few sessions around 25,400 – 25,500 levels,” said Nagaraj Shetti, Senior Technical Research Analyst at HDFC Securities.
According to him, the underlying trend of Nifty 50 is positive, and a decisive breakout of key resistance at 25,500 is likely to open more upside towards 25,700 – 25,800 in the near term. Immediate support is placed at 25,200.
Sudeep Shah, Head – Technical and Derivatives Research at SBI Securities noted that the RSI, which had dipped to 55.08 in the previous session, has now rebounded to 60.49, while MACD continues to trade above both the zero line and the signal line, indicating that the underlying medium-term trend remains constructive.
“Looking at key levels, the 25,450 level will act as an immediate resistance for the Nifty 50 index. This level also coincides with the previous swing high made on 18th September. If the index manages to give a follow through move above the level of 25,450, then pullback can continue further till 25,650 level. While, on the downside, the zone of 25,200 – 25,150 will act as a crucial support for the index,” said Shah.
Vishnu Kant Upadhyay, AVP – Research & Advisory, Master Capital Services believes the broader outlook for the Nifty 50 remains constructive, and the “buy-on-dips” strategy is likely to prevail.
“Any corrective move towards the 25,000 – 24,800 zone could offer an opportunity to initiate fresh long positions, with initial upside targets placed around 25,650 – 25,700 levels,” said Upadhyay.
Bank Nifty Prediction
Bank Nifty index rallied 303.45 points, or 0.54%, to close at 56,799.90 on Wednesday, forming a bull candle with a higher high and higher low, highlighting continuation of the positive momentum.
“Bank Nifty index formed a bullish candle on the daily chart, reflecting continued strength. Immediate support for Bank Nifty is placed near 56,200, where the trend line support lies, followed by 55,820. As long as the index holds above 55,820, it is likely to extend its move towards 57,300 – 57,500 levels. Hence, traders are advised to maintain a buy-on-dips strategy in the short term,” said Hrishikesh Yedve, AVP Technical and Derivative Research, Asit C. Mehta Investment Intermediates Ltd.
Bajaj Broking Research said that the Bank Nifty index has immediate resistance at 57,000 levels, and a move above the same will open further upside towards all time high placed around 57,600 levels.
“Bank Nifty continues to outperform the benchmark indices. Immediate support is placed at 56,200 – 56,000 levels being the current week low. Indices sustain above the same will keep the immediate bias positive,” said Bajaj Broking Research.