Share Market Live

NSE

Indian equity benchmarks scaled three-month closing highs on the last day of the July derivatives series. A widely expected hike in the key US interest rate and Fed Chairman Jerome Powell's remark that the US central bank may have to slow down on increases at some point boosted the sentiment globally.

What do the charts suggest for Dalal Street?

The Nifty50 has formed a long bull candle on the daily chart with a gap-up start, and taken out crucial resistance at 16,800, according to Nagaraj Shetti, Technical Research Analyst at HDFC Securities.

One may expect the momentum to continue in the near term.

Nifty Bank poised for higher levels

The Nifty Bank continues to be in a buy mode after surpassing the immediate hurdle of 37,000, said Kunal Shah, Senior Technical Analyst at LKP Securities.

"The next hurdle is placed at 38,000, where a significant amount of call writing has been witnessed. Momentum indicator RSI remains in a buy zone as long as it is trading above 60," said Shah, who sees immediate support for the banking index in the 37,000-36,800 zone.

Here are key things to know about the market ahead of the July 29 session:

SGX Nifty

On Friday, Singapore Exchange (SGX) Nifty futures — an early indicator of the Nifty index — jumped 211.5 points or 1.2 percent to 17,158.5 ahead of the opening bell on Dalal Street.

Global markets

Equities in other Asian markets began the day in the green tracking a strong session on Wall Street overnight, after data showing a second straight quarterly contraction in the US economy supported optimism that the Fed may not need to be as aggressive with interest rate hikes as feared earlier.

MSCI's broadest index of Asia Pacific shares outside Japan was up 0.7 percent at the last count. Japan’s Nikkei 225 was up 0.6 percent, and so were S&P 500 futures. On Thursday, the three main US indices jumped around one percent each.

What to expect on Dalal Street

HDFC Securities' Shetti believes the 50-scrip index's short-term trend has turned sharply positive.

He views 17,500 as the next target for the index with immediate support in the 16,800-16,750 band.

Important levels to track

In a bullish signal, both the Nifty50 and the Nifty Bank remained above the six main simple moving averages for a second back-to-back session.

The 50-scrip index has regained its 200-day exponential moving average in a technically positive sign, Hariharan pointed out.

Resistance vs support

Om Mehra, Research Associate at Choice Broking, pointed out the following levels:

FII/DII activity

Call/put open interest

The maximum call open interest is accumulated at the strike price of 17,000, with more than two lakh contracts, and the next highest at 17,100, with nearly 98,000, according to exchange data.

On the flipside, the maximum put open interest is at 16,900, with 1.7 lakh contracts, and 16,500, with 1.4 lakh contracts.

This suggests strong resistance at 17,000 followed by another hurdle just 100 points above, and immediate support at 16,900 followed by a strong base only at 16,500.

Long build-up

Here are five stocks that saw an increase in open interest as well as price:

Long unwinding

(Decrease in open interest as well as price)

Short covering

(Increase in price and decrease in open interest)

Short build-up

(Decrease in price and increase in open interest)

52-week highs

A total of 12 stocks on the BSE 500 — the broadest index on the bourse —touched the milestone: ITC, Adani Total Gas, Hindustan Aeronautics, Bharat Electronics, Page Industries, PVR, Inox Leisure, Schaeffler, Blue Dart, Coromandel, Navin Fluorine and Timken.

52-week lows

On the other hand, three stocks hit 52-week lows: SpiceJet, Zensar and Glaxo.

First Published:Jul 28, 2022 6:08 PM IST