The Nifty 50 index shed 0.05% to 25,796.9, while the S&P BSE Sensex settled 0.04% lower at 84,266.29. They moved between 0.1% higher and 0.1% lower through the session.
Meanwhile, Thursday’s trade is expected to be impacted after Iran’s ballistic missile strike on Israel intensified fears of a wider regional conflict. Crude oil prices surged amid concerns over potential supply disruptions. Over the past two days, both Brent futures and U.S. West Texas Intermediate (WTI) crude have jumped more than 6%.
Here’s how analysts the market pulse:
“Nifty formed a doji pattern with a long upper shadow on the daily chart, indicating market indecision. Heavy call writing at 25800 suggests it may act as strong resistance if sustained. Immediate support lies at 25750, and a decisive break below this could push the index to 25,600/25,500. On the higher side, a move above 25,800 may propel Nifty towards 26,050, where sellers could become active again,” said Rupak De, LKP Securities.
Tejas Shah of JM Financial & BlinkX, said, “Technically, the Nifty closed below the psychological level of 26,000 for two consecutive days which has been acting as a minor support for the last couple of days. While this is a negative development it’s not something that opens a big downside. The index should now find support around the next major support zone of 25,650-700 and there is a strong possibility that the bulls will put in a fight here. Support for Nifty is now seen at 25,650-700 and 25,450-500. On the higher side, immediate psychological resistance is at 26,000 levels and the next resistance zone is at 26,125-150 levels. Overall, Nifty is likely to consolidate or remain volatile within the 25,700 – 26,000 range in the near term.”
That said, here’s a look at what some key indicators are suggesting for Thursday’s action:
US market:
European shares:
Tech View:
After opening with a positive note, the Nifty attempted to move up soon after the opening. It later failed to sustain the opening gains and slipped into weakness with lackluster movement. Minor upside recovery of the mid part was not successful.
A small candle was formed on the daily chart with an upper shadow. Technically, this pattern indicates a sell-on-rise opportunity in the market. But, the sharp follow-through selling momentum was absent on Tuesday, said Nagaraj Shetti of HDFC Securities.
In the open interest (OI) data, the highest OI on the call side was observed at 25,900 and 25,800 strike prices, while on the put side, the highest OI was at 25,800 strike price followed by 25,700.
Stocks showing bullish bias:
Momentum indicator Moving Average Convergence Divergence (MACD) showed bullish trade on the counters of Kfin Technologies, Paytm, Blue Dart, Bayer Cropscience, Balaji Amines, and Metropolis Healthcare among others.
The MACD is known for signaling trend reversals in traded securities or indices. When the MACD crosses above the signal line, it gives a bullish signal, indicating that the price of the security may see an upward movement and vice versa.
Stocks signaling weakness ahead:
The MACD showed bearish signs on the counters of Dixon Technologies, Bikaji Foods International, Mankind Pharma, Century Plyboards, Kaynes Technology, and Jio Financial Services among others. Bearish crossover on the MACD on these counters indicated that they have just begun their downward journey.
Most active stocks in value terms:
RIL (Rs 2,414 crore), HDFC Bank (Rs 2,120 crore), Nalco (Rs 1,569 crore), Paytm, (Rs 1,513 crore), ICICI Bank (Rs 1,397 crore), BSE (Rs 1,388 crore), and Axis Bank (Rs 1,375 crore) among others were among the most active stocks on NSE in value terms. Higher activity on a counter in value terms can help identify the counters with highest trading turnovers in the day.
Most active stocks in volume terms:
Shree Renuka Sugars (Shares traded: 13 crore), PNB (Shares traded: 12 crore), Nalco (Shares traded: 7 crore), YES Bank (Shares traded: 6.1 crore), Tata Steel (Shares traded: 5 crore), Alok Industries (Shares traded: 4 crore), and Easy Trip Planners (Shares traded: 3.6 crore) among others were among the most traded stocks in the session on NSE.
Stocks showing buying interest:
Shares of BASF India, Saregama India, Nalco, Indegene, Polycab India, Balrampur Chini, and Deepak Fertilisers among others witnessed strong buying interest from market participants as they scaled their fresh 52-week highs, signaling bullish sentiment.
Stocks seeing selling pressure:
Shares of RBL Bank hit their 52-week lows, signaling bearish sentiment on the counter.
Sentiment meter bulls:
Overall, market breadth favoured bulls as 2,240 stocks ended in the green, while 1,743 names settled in the red.
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of the Economic Times)
