GIFT NIFTY in Red. Friday Profit Booking? - Pre-Market Analysis Report

What Happened Yesterday?

NIFTY started yesterday at 24,370 with a gap-up and fell. It took support at 24,320 immediately and bounced back 100 points. Another day of tight trading put NIFTY at 24,302, up by 15 points or 0.06%.

U.S. markets were closed for a holiday. European markets closed in the green.

What to Expect Today?

Asian markets are trading in the green.

The U.S. Futures are trading flat.

GIFT NIFTY is trading in red at 24,340, down by 73 points.

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

NIFTY has supports at 24,220, 24,050 and 23,910. We can expect resistances at 24,300, 24,400 and 24,500.

BANKNIFTY has supports at 53,000, 52,800 and 52,620. We can expect resistances at 53,230, 53,500 and 53,600. 

Foreign Institutional Investors net-bought shares worth Rs 2,575 crores. Domestic Institutional Investors net-sold shares worth Rs -2,375 crores.

INDIA VIX fell to 12.85.

GIFT NIFTY is indicating a gap-down opening, but it could be a false alarm.

The dip in NIFTY below 24,300 after 3 PM would have been scary for weekly options traders. HDFC Bank also lost all its gains from Wednesday, and news has now come out with data of a fall in loan growth.

All the markets across the world are trading at all-time highs. So healthy corrections would be welcome, as long as they are still keeping NIFTY above the 24,000 mark.

For the beginning of the month data points, banks will be giving their reports on Loans & Deposit growth. Watch for this.

Since the U.S. markets were closed for the 4th of July holiday, there are no specific cues to watch out for. So expect some profit booking to continue from DIIs today, and watch for a direction in the last 1 hour of trade.

We will be continuing our BANKNIFTY trades and entering new NIFTY trades today. You can check out our marketfeed app or our website for new trades!

All the best for the day!