Quote on Pre-market comment for Friday April 10th by Aakash Shah, Technical Research Analyst, Choice Broking
Below Quote on Pre-market comment for Friday April 10th by Aakash Shah, Technical Research Analyst, Choice Broking
Indian equity markets are expected to open on a mildly positive note on Friday, tracking firm cues from GIFT Nifty, which is trading around 23,800, up ~30 points. However, the overall undertone may remain cautious after a sharp decline in the previous session.
In the previous session (09th April), benchmark indices ended sharply lower, witnessing broad-based selling after the recent rally. The Nifty 50 declined by ~222 points (0.93%) to close at 23,775, while the BSE Sensex fell over 900 points to settle near 76,631.
The decline was primarily driven by profit booking after the previous rally, along with weak global cues and rising geopolitical concerns. Renewed tensions in the Middle East and uncertainty around oil supply weighed on investor sentiment, while crude oil prices moved higher, adding to inflation worries.
Sectorally, most indices ended in the red, with financials and banking stocks seeing notable pressure after the previous session’s sharp rally. However, selective resilience was seen in IT and metal stocks, which limited deeper losses in the market.
From a technical perspective, the Nifty 50 has slipped below the crucial 24,000 level, indicating near-term weakness. Immediate resistance is now placed around 23,950–24,000, while support is seen near 23,700–23,600. A break below this support zone could extend the decline further towards 23,400 levels.
The Bank Nifty also witnessed pressure following recent gains, reflecting profit booking in banking stocks. The index is expected to face resistance near 55,800–56,000, while support is placed around 54,800–54,500.
On the institutional front, FIIs remained net sellers to the tune of approximately ?1,711 crore, while DIIs continued their buying with inflows of around ?956 crore, This ongoing divergence between foreign and domestic flows continues to play a key role in market stability. Meanwhile, Meanwhile, India VIX closed around 20.4275, indicating rising caution and expectation of continued intraday swings
Overall, the market setup suggests a mildly positive to flat start, supported by firm GIFT Nifty cues, but underlying sentiment remains cautious after the recent decline. With Nifty holding below the key 24,000 resistance and continued FII selling, chances of pullback moves and consolidation remain high.
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