The NSE Nifty 50 may face crucial resistance at 23,060 on the upside after it closed above the 22,800 hurdle on Friday, according to market analysts.

Technically, the Nifty formed a bullish candle on daily and weekly charts, and sustained above the trend line resistance of 22,700, signalling strength, according to Hrishikesh Yedve, research analyst at Asit C. Mehta Investment Interrmediates Ltd.

“On the upside, 23,060 will serve as a crucial resistance point for the index, representing the 61.8% Fibonacci retracement of the recent fall, while 22,700 will now act as key support,” Yedve said.

The strength will be further supported by a probable bullish divergence seen in the relative strength index, according to Aditya Gaggar, director of Progressive Share Brokers. “To maintain this positive momentum, the index needs to decisively break above its immediate resistance of 50 displaced moving average, placed at 22,960.”

Gaggar said 22,670 would serve as an immediate support and a breakdown below this level might pull the index down to 22,400.

On a technical level, the Bank Nifty crossed the key resistance zone of 50,750–50,800 and formed a big bullish candle on both daily and weekly charts, showing strength, according to Yedve.

For Bank Nifty, 51,000 now serves as a crucial support level, with near-term resistance seen around 51,500, according to Satish Chandra Aluri, analyst at Lemonn Markets Desk.

Yedve identified the breakout level of 50,750 as immediate support, and said it may have the potential to rally towards 51,500–52,000 if the index sustains above this level.

Market Recap

The benchmark equity indices reversed its single-session decline on Friday as the trade war between US and China intensified. However, the NSE Nifty 50 and the BSE Sensex ended the week in red for the second consecutive week with minor losses following a temporary pause in US trade tariffs.

The Nifty ended 429.40 points or 1.92% higher at 22,828.55, while the BSE Sensex closed 1,310.11 points or 1.77% up at 75,157.26 after witnessing a volatile week. During the day, the Nifty rose 2.34% to 22,923.90, while Sensex gained 2.19% to 75,467.33

FII/DII

Foreign portfolio investors continued their selling streak for the ninth straight session on Friday, net offloading Rs 2,519 crore worth of shares, according to the provisional data from the National Stock Exchange.

The net selling by the FPIs, however, is lower as compared to Rs 4,358 crore during the last trading session on Wednesday.

Global Cues

Markets in Japan, South Korea, and Australia were trading higher Tuesday morning, tracking an overnight rally in stocks on Wall Street. The Nikkei 225 and KOSPI indices were trading 1.12% and 0.56% higher, respectively. The S&P ASX 200 was trading 0.27% higher as of 6:32 a.m.

On Monday, a rally in US technology shares following exemption for certain electronic components and products from tariff helped share indices end higher. The Dow Jones Industrial Average and S&P 500 ended 0.78% and 0.79% higher, respectively. The Nasdaq Composite ended 0.64% up.

The dollar index was trading 0.30% higher at 99.94. The yield on the 10-year US treasury note was 4.36%.

The brent crude was trading 0.14% higher at $64.97 a barrel as of 6:26 a.m. The Bloomberg spot gold was 0.08% higher at $3,213.57 an ounce.

The GIFT Nifty was trading trading flat at 23,302.00 as of 6:38 a.m.

F&O Cues 

  • Nifty 50 April Futures up 2.08% at a premium of 89.1 points

  • Nifty 50 April open interest down 1.86%

  • Nifty 50 April 17 Expiry: Maximum call option open interest at 25,400, maximum put open interest at 20,400

  • Securities in ban period: Birlasoft, Hindustan Copper, Manappuram Finance, National Aluminum

Major Stocks In The News

  • Zydus Lifesciences: The company is set to acquire 85.6% equity shares of Amplitude Surgical SA, France from the existing shareholders at a price of 6.25 euros per equity share, aggregating to a consideration value of 256.8 million euros.

  • Reliance Industries: The firm’s subsidiary, Nauyaan Tradings, completed the acquisition of a further 10% stake in step-down unit Nauyaan Shipyard for 51.7 crore from Welspun Corp.

  • ICICI Bank: The bank will consider fund raising via issuance of debt securities, non-convertible debentures and others on April 19.

Currency Market

The rupee closed stronger against the greenback, as the dollar index hit over two-year low. The Indian unit closed 65 paise higher to close at 86.05 against US on Friday.

. Read more on Markets by NDTV Profit.On a technical level, the Bank Nifty crossed the key resistance zone of 50,750–50,800.  Read MoreMarkets, Notifications 

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