IGI Logo

Below the Quote on Pre-Market Comment by Hardik Matalia, Research Analyst, Choice Broking Ltd 

Indian benchmark indices are expected to open on a flat to positive note, supported by cues from the GIFT Nifty, which indicates a potential gain of approximately 29 points for the Nifty 50. Market sentiment remains mildly indecisive following the previous session’s close.

In the last session, the Nifty opened strong but slipped below its intraday support at 24,550, forming an inside bar candle on the daily chart—a sign of high volatility and market indecision. This pattern reflects a cautious sentiment among traders. However, if the index sustains above the 24,700 level, it could move higher toward the 24,850–25,000 range. On the downside, immediate support is seen at 24,500 and 24,350, which may serve as attractive entry points for long positions.

The Bank Nifty, on the other hand, declined by 139 points and formed a bearish candle, indicating ongoing selling pressure. A sustained move below the key support level of 54,500 could lead to further downside, with immediate support placed at 54,250 and 54,000. Conversely, if the index holds above these support levels and manages a reversal, it may present fresh buying opportunities. Resistance on the higher side is seen at 55,000 and 55,500, with a decisive close above this range likely to trigger a rally toward 56,000.

On the institutional front, Foreign Institutional Investors (FIIs) were net buyers of equities worth ?931 crore on May 14, while Domestic Institutional Investors (DIIs) purchased equities worth ?316 crore.

Given the current environment of market uncertainty and heightened volatility, traders are advised to adopt a cautious “wait and watch” approach, especially when dealing with high-leverage positions. It is recommended to book partial profits on rallies and use tight trailing stop-losses to manage risk. Fresh long positions may be considered gradually if the Nifty sustains above the 24,750 mark. Overall, sentiment remains cautiously bullish, with a strong focus on key breakout levels and global cues.

Above views are of the author and not of the website kindly read disclaimer