“Indian markets are seeing strong momentum driven by banking and other heavyweight stocks. We expect the uptrend in Nifty to continue and expect it to head toward its life-high levels on the back of positive global cues, consistent FIIs buying, and healthy corporate earnings,” said Siddhartha Khemka, Head – Retail Research, Motilal Oswal Financial Services.
Option data suggests a broader trading range in between 18300 to 18800 zones while an immediate trading range in between 18400 to 18750 zones.
Here’s breaking down the pre-market actions:
STATE OF THE MARKETS
SGX Nifty signals a positive start
Nifty futures on the Singapore Exchange traded 13 points, or 0.07 per cent, higher at 18,703, signaling that Dalal Street was headed for positive start on Tuesday.
- Tech View: The key support levels for the bulls are 18550 and 18500 while the crucial resistance areas are expected to be 18650-18700. Traders may consider exiting their long positions if the market falls below 18500.
- India VIX: India VIX, which is a measure of the fear in the markets, rose 3.34% to settle at 12.30 levels.
Asian stocks mixed
Stocks in Japan fell, Australia’s benchmark was little changed and equities in South Korea advanced.
Dollar eases
The U.S. dollar fell on Tuesday against a basket of major currencies but did not drift far from a two-month peak, after a deal over the U.S. debt ceiling lifted risk sentiment, although the agreement could face a rocky path through Congress.
Oil prices rise
Oil prices rose on Tuesday as the expectations the debt ceiling deal in U.S., the world’s biggest oil user, will spur more demand but fears of further interest rate rises and that OPEC+ will leave output quotas unchanged capped gains.
Brent crude futures climbed 35 cents, or 0.5%, to $77.42 a barrel by 0145 GMT after gaining 12 cents on Monday.
FII/DII action
Foreign portfolio investors net bought shares worth Rs 1,758 crore on Monday. DIIs too were buyers at Rs 853 crore.
Rupee
The rupee fell 4 paise to close at 82.64 against the US dollar on Monday, tracking a strong American currency against major rivals overseas.
Corporate results
Adani Ports, Apollo Hospitals and Mankind Pharma and a slew of other companies will announce their quarterly results today.
