Nifty 50, Sensex today: What to expect from Indian stock market in trade on September 17

The Indian stock market benchmark indices, Sensex and Nifty 50, are likely to open on a cautious note Tuesday amid mixed global cues.

The trends on Gift Nifty indicate a positive start for the Indian benchmark index. The Gift Nifty was trading around 25,470 level, a premium of nearly 30 points from the Nifty futures’ previous close.

On Monday, the domestic equity market ended with modest gains after hitting fresh record highs.

The Sensex rose 97.84 points to close at 82,988.78, while the Nifty 50 settled 27.25 points, or 0.11%, higher at 25,383.75.

Nifty 50 formed a small negative candle on the daily chart which is a back-to-back similar pattern in the last two sessions.

“Technically such range movements post sharp up moves could eventually result in an uptrend continuation pattern. The underlying uptrend of the market remains intact. Nifty could eventually break above the range movement at 25,450 and move towards the next hurdle at 25,800 in the near term,” said Nagaraj Shetti, Senior Technical Research Analyst at HDFC Securities.

Here’s what to expect from Nifty 50 and Bank Nifty today:

Nifty 50 Prediction

Nifty 50 continued its consolidation movement for the second consecutive session on September 16 and closed the day with minor gains of 27 points after hitting a new all time high at 25,445 levels.

“The technical chart shows no change in formation compared to the previous day. The trend continues to be strong, though with limited upward potential in the short term. Key support levels are still intact between 25,150 – 25,200, while resistance is positioned around 25,460 – 25,500,” said Rupak De, Senior Technical Analyst, LKP Securities.

According to him, a decisive breakout from the current range might initiate a directional move.

Praveen Dwarakanath, Vice President of Hedged.in believes Nifty 50 after a strong rally owing to FII’s buying last Thursday has consolidated at 25,300 – 25,400 levels.

“The momentum indicators are showing signs of bullishness. On the weekly chart, the RSI line has crossed over the RSI average line, indicating this bullishness. Option writer’s data for the present week’s expiry and September end expiry shows increased put writing, indicating bullishness and further corroborating the above statement,” Dwarakanath said.

Aditya Agarwal, Head of Derivatives and Technical at Sanctum Wealth noted that Nifty 50 continued to consolidate for the second day in a row in a narrow band.

“On the higher side, aggressive call writing has been seen at the 25,500 strike option and that will act as an immediate and strong resistance zone for index and move towards those levels will be used by traders to book profits in trading long positions. However, overall short term structure for index remains bullish and dip towards 25,280 / 24,160 can be used as buying opportunity,” Agarwal said.

Bank Nifty Prediction

Bank Nifty index ended 215 points higher at 52,153 on Monday, forming a bullish candlestick pattern on the daily charts.

“Bank Nifty has started to walk on the upper Bollinger band which is a sign of bullishness. On the daily chart, all momentum indicators show signs of a rally above the 52,000 level, as the resistance at 52,000 has been taken out. The next immediate levels to watch for in Bank Nifty on the upside are 52,700 and 53,500 levels. The option writer’s data for the present week’s expiry shows short covering in ITM calls and selling in ATM puts indicating bullishness to continue,” said Praveen Dwarakanath

According to Aditya Agarwal, the short term structure remains strong and Bank Nifty is expected to test 52,480 / 52,800. On the lower side, the index will find support around 51,920 / 51,800 levels and any dip towards those levels can be used to add fresh longs.

Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.