Fed Interest Rate Day! Can NIFTY Break 25k? - Pre-Market Analysis Report

What Happened Yesterday?

NIFTY started flat at 24,851 yesterday and went up. The index could not break the 25k mark and yesterday’s high. The last 45 minutes saw the entire day’s gains being lost. NIFTY ended the day at 24,857, up 21 points or 0.09%.

U.S. markets closed mixed. European markets closed mixed.

What to Expect Today?

Asian markets are trading mostly in the green, except Japan.

The U.S. Futures are trading in the red(-0.25%).

GIFT NIFTY is trading in small green at 24,962, up by 31 points.

All the factors combined indicate a flat to small gap-up opening in the market.

NIFTY has supports at 24,760, 24,650 and 24,480. We can expect resistances at 24,920, 25,000 and 25,100.

BANKNIFTY has supports at 51,260, 51,000 and 50,700. We can expect resistances at 51,600, 51,800 and 52,000.

In NIFTY, there is high call OI resistance at 25,000. There is also good put OI support at 24,800. PCR is at 1.09, slightly bullish.

In BANKNIFTY, there is high call OI resistance at 52,000. There is also good put OI support at 51,500 and 51,000. PCR is at 0.75, bearish.

Foreign Institutional Investors net-sold shares worth Rs -5,598 crores. Domestic Institutional Investors net-bought shares worth Rs 5,565 crores.

INDIA VIX fell to 12.88.

NIFTY’s breakout on Friday and the gap-up on Monday have kept bulls on the edge. The index is so very near the 25,000 mark and is just being kept down temporarily. At least, that is my opinion.

If the market sustains around these zones for the next 2 days, it could make a good move on Friday.

There is the U.S. Federal Reserve’s interest-rate decision, and Jerome Powell’s press conference tonight. So keep an eye out for that. This one event alone can maybe dictate Friday’s direction. Japan’s interest rate decision is also coming out.

NASDAQ and other international indices are already down 5-10% from their all-time highs in July.

Last Friday, we watched 24,650 on the upper side as a signal for a breakout. The same 24,650 level needs to be looked at as support this week. 25,000 is the new upper resistance.

Any breakout beyond these zones will be a confirmation of a fresh trend. But currently, there is no bear attack in the market.

We are continuing our NIFTY and BANKNIFTY trades today. You can check out the marketfeed app or our website for updates!

All the best for the day!