The SGX Nifty signaled that domestic benchmark indices NSE Nifty and BSE Sensex might open in the green, as Nifty futures traded 57.5 points higher at 18,050 on the Singaporean exchange. Benchmark indices NSE Nifty and BSE Sensex added gains on Wednesday to end the session in green. Nifty 50 rose 101 points to 17,915 and Sensex climbed 348 points to 60,649.
“The domestic market is gradually shifting towards a positive terrain, supported by FIIs inflows and positive Q4 earnings from banks. On the global front, the US Q1 GDP number which will be unveiled today is anticipated to moderate on a QoQ basis amid concerns over banking contagion and a slowing economy. The next week’s FED policy will be keenly monitored. The FED may further hike by 25bps, but the expectation is that this will represent the peak and a long pause,” said Vinod Nair, Head of Research, Geojit Financial Services.
Asian Markets
Shares in the Asia-Pacific region traded mixed on Thursday. South Korea’s Kospi gained 0.35% in trade while China’s indices, Shanghai Composite and the Shenzhen Component, added 0.65% and gained 0.58%, respectively. Hong Kong’s Hang Seng index advanced 0.78%, while Japan’s Nikkei 225 gained 0.70%. The Taiwan Weighted index added 0.87%.
Crude Oil
Oil prices were little changed on Friday but are set for their second weekly drop as disappointing economic data from the U.S., the world’s biggest crude user, and uncertainty on further interest rate hikes raised concerns about future fuel demand. Brent crude futures for June were trading at $78.53 a barrel, up 16 cents, or 0.2%, as of 0156 GMT. That contract expires on Friday and the more active July contract was up 21 cents, or 0.3% at 78.43 a barrel. U.S. West Texas Intermediate (WTI) crude was up 23 cents, or 0.3%, at $74.99 a barrel.
FII/DII Data
Foreign institutional investors (FII) net purchased shares worth Rs 1,652.95 crore, while domestic institutional investors (DII) net purchased equities worth Rs 97.07 crore on 26 April, according to the provisional data available on the NSE.
F&O Ban
The National Stock Exchange has no securities on its F&O ban list for 28 April. 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
“Bank Nifty continues to move higher during the day. On the daily chart, the index has remained above the consolidation breakout point. Besides, the index has remained above the critical moving average. On the higher end, Bank Nifty might move towards 43,300/43,500 over the near term. On the lower end, support is placed at 42,750,” said Rupak De, Senior Technical Analyst at LKP Securities.
Technical View
“Nifty is gradually advancing towards the crucial overhead resistance of 17,863 levels, which is not only a swing high of 17th April, but also the high of the bearish engulfing pattern of daily and weekly time frame charts. The short term trend of the market continues to be positive. The Nifty is now reaching the important resistance of 17,863 levels in the short term. There is a possibility of minor consolidation movement at the highs before showing a decisive upside breakout for the near term. Immediate support is at 17,700 levels,” said Nagaraj Shetti, Technical Research Analyst, HDFC Securities.
Levels to Watch
“Volume profile indicates Index has a strong support around 17,700-17,800 zone. Coming to the OI Data, on the call side, the highest OI observed at 18,000 followed by 18,100 strike prices while on the put side, the highest OI is at 17,800 strike price. On the other hand, Bank Nifty has support at 42,300-42,500 while resistance is placed at 43,500-43,700 range,” said Deven Mehata, Equity Research Analyst, Choice Broking.
Currency Outlook
“USDINR spot closed higher by 8 paise at 81.84 on spot, after touching an intraday low of 81.61, lowest level since 6th march. Suspected intervention from the central bank and demand from dollars from oil marketing companies drove the pair towards 81.85 levels by close. Over the near term we expect a range of 81.50 and 82.00 on spot,” said Anindya Banerjee, VP – Currency Derivatives & Interest Rate Derivatives, Kotak Securities.