The intraday market trend for the benchmark NSE Nifty 50 remains bullish, but range-bound activity is expected in the near term due to overbought conditions,, according to Shrikant Chouhan, head of equity research at Kotak Securities Ltd.
Day traders should focus on buying during intraday corrections and selling on rallies. The key support for the Nifty is 24,000 and 24,100, while the resistance zone is between 24,400 and 24,500. A break below 24,000 can weaken the uptrend, the analyst said.
Indian equities are expected to witness a net inflow of around $2.5 billion in foreign passive flows as the quarterly rejig in the MSCI indices is slated to occur Monday, according to Ameya Ranadive, senior technical analyst at StoxBox.
He pointed out that the Nifty was fluctuating within a range of 216 points on Monday before closing on an "indecisive note" after reclaiming the 20-day moving average. In contrast, the broader indices outperformed the benchmark, and all sectoral indices ended in the green.
With a strong show by the Mahayuti in Maharashtra elections, the sentiment in domestic equities should turn around, according to IFA Global. "We prefer to increase the allocation in the large cap universe on every dip towards 23,400. We may see idiosyncratic moves in the smallcap space."
FII, DII Activity
Overseas investors became net buyers of Indian equities on Monday, ending 38 consecutive sessions of selling. Foreign portfolio investors bought stocks worth Rs 9,948 crore, marking the second-highest single day buying of the year.
Meanwhile, domestic institutional investors turned net sellers, offloading shares worth Rs 6,908 crore after 13 consecutive sessions of being net buyers.
Market Recap
Indian equity indices, including the Nifty 50 and BSE Sensex, gained nearly 4% over two sessions, recouping recent losses. Both the benchmarks recorded their highest closing since Nov. 6.
Positive sentiment was fuelled by global cues, including US President-elect Donald Trump's potential Treasury Secretary nominee, Scott Bessent, and positive reactions to the NDA's victory in Maharashtra.
The Nifty closed 1.32% higher at 24,221.90, while the Sensex rose 1.25% to 80,109.85.
Major Stocks In News
Zomato: The food delivery major announced the opening of its qualified institutional placement issue, which is aimed at raising a total sum of Rs 8,500 crore. The company has fixed the floor price for the QIP at Rs 265.91 per share.
Hindustan Unilever: The board has granted in-principle approval to demerge the company’s ice cream business into an independent, publicly listed entity. For the purpose of the proposed demerger, the Board has also approved the incorporation of a wholly owned subsidiary.
Paisalo Digital: The board will meet on Nov. 28 to consider fundraise.
Premier Energies: Subsidiaries received and accepted multiple orders aggregating to Rs 1,087 crore from two large independent power producers and one other customer.
Ashoka Buildcon: The infrastructure major won a Rs 1,391-crore project from the National Highway Authority of India in West Bengal.
Money Market
The Indian rupee ended 17 paise stronger against the US dollar at 84.28, starting the week on a strong note. The local currency appreciated by 19 paise during the day to 84.26.
Disclaimer: The views and opinions expressed by the investment advisers on NDTV Profit are of their own and not of NDTV Profit. NDTV Profit advises users to consult with their own financial or investment adviser before taking any investment decision.
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