The levels of 22,720 and 22,800 will act as stiff resistances for the NSE Nifty 50, which has sustained above the first bearish gap 22,450–22,514, according to analysts.

The benchmark index opened with a gap up on Friday, maintained buying interest and settled the day on a bullish note. Technically, it has formed a green candle, which indicates strength, according to Hrishikesh Yedve, research analyst at Asit C Mehta Investment Interrmediates Ltd.

“The next major resistance is around 22,668–22,720, where the next bearish gap is placed, followed by the previous breakdown point at 22,800,” he said.

On the downside, the index finds immediate support at 22,240. “Though the overall market suggests strength, traders should wait for a move above 22,800. Until then, buy near support and take profits around resistance,” Yedve said.

For the Bank Nifty, the double bottom support zone at 48,000 will act as a critical level, according to Amol Athawale, vice president of technical research at Kotak Securities.

“If it trades above this level, it could move up to the 50-day simple moving average, targeting 49,300 and 49,700. However, if it goes below 48,000, the uptrend would become vulnerable,” Athawale said.

Market Recap

The benchmark equity indices closed flat on Friday, with the NSE Nifty 50 snapping its three-week rout and registering the best weekly gains in three months.

The Nifty ended 7.8 points or 0.03% higher at 22,552.5, while the BSE Sensex closed 7.51 points or 0.01% down at 74,332.58.

Major Stocks In The News

  • Tata Power: The company signed a Memorandum of Understanding with the Andhra Pradesh government to develop up to 7,000 MW of renewable energy projects, with an estimated investment of approximately Rs 49,000 crore.

  • Mahindra & Mahindra: The company reported a 10.4% year-on-year increase in total production to 81,302 units in February, up from 73,643 units in the same period last year.

    Total sales rose 13% to 80,641 units, compared to 71,384 units in February last year.

  • GMR Airports Infrastructure: The firm acquired a 10% stake in Delhi International Airport from Fraport, increasing its shareholding in DIAL to 74% from 64%.

  • Coal India: The firm signed a Memorandum of Understanding with IIT Hyderabad to establish a Centre of Excellence for Clean Coal Energy and Net Zero emission.

Global Cues

Stocks in the Asia Pacific region rose on Monday amid concerns about economic growth in the US. Additionally, China’s inflation dipped below zero for the first time in a year.

South Korea’s Kospi rose 0.49%, or 12.60 points to 2,576.08, while Australia’s S&P ASX 200 was up 0.27% at 7,969.80 as of 7:23 a.m. Markets in Japan rose on Monday, while the benchmark index in China and Hong Kong were in the red.

This comes after S&P 500 rose 0.55% on Friday, while the Nasdaq Composite rose over 0.70% and the Dow Jones Industrial Average also rose by 0.52% on Friday.

Among important events today, Germany will announce its industrial production, while Pakistan will make its rate decision today. Japan is expected to announce its current account.

The dollar index — which tracks the greenback’s performance against a basket of 10 leading global currencies — declined for the sixth consecutive session. The benchmark yield fell four basis points to 4.26%.

Crude oil prices fell on Monday after posting seven weeks of loss with the Brent crude falling 0.41% at $70.07 a barrel as of 7:25 a.m. IST, and the West Texas Intermediate was down 0.49% at $66.71.

Forex Market

The Indian rupee closed 24 paise stronger at 86.88 against the US dollar on Friday amid a continued decline in the US dollar index and crude-oil prices offered relief amid persistent selloff by global funds.

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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