The Nifty 50 index has now gained for eight days in a row, matching the streak it had during the period between November 22-December 1, during which it made an all-time high of 18,888.

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Wednesday's gains took the index above its previous swing high of 17,799 on March 6, post which it corrected nearly 1,000 points in the next few sessions till March 20. The Nifty 50 has not only recouped all those losses, but moved above the a key resistance level as well.

The Nifty 50 faced resistance at 17,780 during the first half of trade on Wednesday, reversing multiple times from those levels. However, it broke past that during the second half, crossed 17,800, and closed above that mark.

Today's session will be the last trading day of this truncated week as the market will remain shut on account of a holiday. The market will react to a slew of data points for today's session. Primarily will be the reaction to TCS earnings, which mostly missed street expectations.

The market will also react to CPI numbers reported both in India and the US. Today is also the weekly options expiry session for Nifty 50 and Nifty Bank contracts. Reaction will also be seen to the Fed Minutes, where the FOMC expects a recession this year due to the banking crisis.

Abhiram Eleswarapu of BNP Paribas India told CNBC-TV18 that they have turned a bit more constructive on the market as the price and time correction has lasted quite a bit.

"Now when you compare this with where bond yields are for example then the scenario for equities has become slightly better. So if we take a 12-month view, our Nifty target is 19,250 which is a high single digit upside from current levels," he said.

What do the charts suggest for Dalal Street?

Nagaraj Shetti of HDFC Securities said that any downward correction on the Nifty 50 hereafter can lead to a higher top, higher bottom formation and that the previous bearish setup over the last 3-4 months appears to be negated once the index closed above 17,800. He sees next upside levels at 18,200, with immediate support at 17,700.

"The overall trend remains in a bullish mode and any dip in the index will be an opportunity to enter fresh longs," said Rohan Patil of SAMCO Securities. Immediate support is placed between 17,600 - 17,650 levels and in case the index falls below those levels, the next support comes at 17,400. On the upside, resistance is seen at 17,900 - 17,950.

The trend on the Nifty Bank index remains positive as long as it retains the downside support level of 41,500 - 41,400, according to Kunal Shah of LKP Securities. He expects the index to move towards levels of 41,800 - 42,000 on the upside.

Here are key things to know about the market ahead of the trading session on April 13:

SGX Nifty

On Thursday, Singapore Exchange (SGX) Nifty futures — an early indicator of the Nifty 50 index — declined 51 points or 0.29 percent to 17,828, thereby pointing to a slightly negative opening for the market.

Global Markets

Asian markets have opened lower after a negative close on Wall Street.

The Nikkei 225 has opened 0.3 percent lower, while the Topix is down 0.2 percnt. South Korea's Kospi is down 0.4 percent, while the Kosdaq is trading with losses of 0.5 percent.

Benchmark indices on Wall Street ended Wednesday's session on a negative note after the Fed Minutes, which expect the recent banking crisis to cause a recession later this year.

This offset the positive sentiment from the March CPI numbers, where headline pressure slowed from last month.

The Dow Jones snapped a four-day winning streak to end 40 points lower, while the S&P 500 and Nasdaq fell 0.4 percent and 0.85 percent respectively.

What to expect on Dalal Street

Rajesh Bhosale of Angel One sees the next resistance for the Nifty 50 at the psychological level of 18,000, follwed by the next swing high of 18,137. He advises traders to avoid any form of complacency as this recent upmove has been without any barrier. The ideal approach would be to continue using dips as a buying opportunity, he said. Immediate support is now at 17,700 - 17,650.

The Nifty 50 index has remained above the channel breakout with the RSI in a bullish crossover and rising, according to Rupak De of LKP Securities. He now expects the market to remain a buy-on-dips one as long as it remains above 17,700 and the upmove to continue towards levels of 17,900 - 17,970.

Key Levels To Watch

For today's weekly options expiry, the 17,700 call strike of the Nifty 50 shed 66 lakh shares in Open Interest, while the 17,750 call shed 25.52 lakh shares. The 18,000 call added 38 lakh shares and the 17,950 call saw Open Interest addition of 35.27 lakh shares.

On the downside, the 17,800 put added 57.1 lakh shares in Open Interest, while the 17,750 put added 55 lakh shares.

Nifty 50's put-call ratio now at 1.27 from 1.2 on Tuesday. Balrampur Chini and Delta Corp are the two stocks in the F&O ban.

FII/DII activity

Long Build-Up (Increase In Price and Open Interest)

Short Build-Up (Decrease In Price and Increase In Open Interest)

First Published:Apr 13, 2023 5:06 AM IST