Stay ahead in the Indian stock market as Nifty 50 and Sensex gear up for a robust opening following positive state assembly election results. Our expert analysis highlights the upward trends and potential gains, offering insights into key support and resistance levels for strategic decision-making. Explore the latest financial outlook and seize opportunities in the dynamic market landscape.
In a positive turn of events, the Indian stock market indices, Nifty 50 and Sensex, are expected to open significantly higher today, buoyed by robust domestic cues following the announcement of four state assembly election results. The Gift Nifty also indicates a promising start, trading around the 20,630 level, compared to Nifty futures’ previous close of 20,360.
The previous trading session witnessed the domestic equity market closing on a high note, with the Nifty 50 reaching a fresh record high in the intraday session, fueled by encouraging Q2 GDP numbers. The Sensex closed 492.75 points higher at 67,481.19, while the Nifty 50 rose 134.75 points, or 0.67%, settling at 20,267.90 on December 1.
Nifty 50 displayed a positive candle on the daily chart with a gap-up opening, emphasizing its strong position at all-time highs. According to Nagaraj Shetti, a Technical Research Analyst at HDFC Securities, there are no signs of a reversal pattern at these highs. The weekly chart indicates a long bull candle, signaling a sharp upside breakout in the market from a long-term perspective. Shetti maintains a positive outlook on the short-term trend of Nifty 50, anticipating further upside in the coming week.
Nifty 50
The bullish momentum continues to drive Nifty 50 upward, with a consolidation breakout on the weekly timeframe likely, paving the way for a further rally. The sentiment remains optimistic, marked by a bullish crossover in the weekly RSI. Support is firm at 20,200, and any declines could be viewed as buying opportunities as long as this level holds. Resistance is expected around 20,450-20,500.
What is Support and Resistance in stock market?
Trade live Markets at moneycontrol.com
Learn Technical Analysis: Technical Analysis
Bank Nifty
The Bank Nifty index exhibited robust bullish momentum, surpassing the resistance level of 44,700 to close at 44,814 on December 1. The immediate hurdle on the upside is at 45,000, with substantial support at 44,300. Kunal Shah, a Senior Technical & Derivative Analyst at LKP Securities, suggests that retracements toward this support level present favorable opportunities for investors to initiate long positions.
Learn the basics of stock market: Basics of Stock Market
FAQs
1. Why are the Indian stock market indices, Nifty 50 and Sensex, expected to open higher today?
The anticipated sharp opening is driven by strong domestic cues following the announcement of four state assembly election results.
2. What were the outcomes of the previous trading session for Nifty 50 and Sensex?
The domestic equity market closed on a high note, with the Sensex ending 492.75 points higher, and Nifty 50 reaching a fresh record high on December 1.
3. What signals does the technical analysis provide for Nifty 50?
According to Nagaraj Shetti, Technical Research Analyst at HDFC Securities, the short-term trend for Nifty 50 remains positive, with indications of further upside in the coming week.
4. What levels should investors watch for Nifty 50 and Bank Nifty today?
For Nifty 50, support is solid at 20,200, with resistance expected around 20,450-20,500. In the case of Bank Nifty, the immediate hurdle is at 45,000, and substantial support is at 44,300.
5. How can investors leverage retracements in Bank Nifty?
Kunal Shah, Senior Technical & Derivative Analyst at LKP Securities, suggests that retracements towards the support level of 44,300 present opportune moments for investors to initiate long positions.