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Below the Quote on Pre-Market Comment by Mandar Bhojane, Research Analyst, Choice Broking

Indian equity markets are expected to open on a cautious note today, as indicated by the GIFT Nifty, which was trading around 24,422 in early trades, reflecting a modest 6-point decline. This suggests a lack of strong domestic triggers, with global market trends, crude oil prices, and institutional flows likely to influence sentiment.

The Nifty 50's daily chart highlights a bullish candle, signaling renewed buying interest at key support levels. Immediate support is placed at 24,000 and 23,900, historically strong reversal zones that may present buying opportunities if confirmed by favorable price action. On the upside, 24,350 serves as the first hurdle. A decisive breakout above this level could drive the index toward the next resistance targets at 24,800 and 25,000, unlocking significant upside potential.

The Bank Nifty formed a dragonfly doji on the daily chart, indicating potential bullish momentum. A breakout from this pattern could fuel further upside movement. However, if the index sustains below the critical level of 52,000, it may retest support at 51,200 and 51,000, zones that could also offer buying opportunities on signs of reversal. On the upside, immediate resistance is seen at 52,400 and 52,600. A close above these levels could trigger a rally, targeting 53,100 and 53,600.

On December 2, Foreign Institutional Investors (FIIs) were net sellers of equities worth Rs.238 crore, while Domestic Institutional Investors (DIIs) stepped in with net buying of over Rs.3,588 crore. These flows will remain a key focus, as they can significantly influence market momentum.

Traders are advised to adopt a cautious stance and wait for confirmation of price action at key support and resistance levels before initiating fresh positions. Risk management remains crucial in a market driven by global cues and institutional activity.

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