Nifty 50, Sensex Today: What to expect from Indian stock market trading on November 8 after Fed rate cut

India’s Sensex and Nifty 50 are likely to open flat on Friday after global stock markets sent a positive signal after the Federal Reserve cut its benchmark interest rate by 25 basis points (bps) as expected.

Gift Nifty trends also point to a lackluster start for the Indian benchmark index. Gift Nifty was trading at around 24,290 points, a discount of nearly 10 points to the previous closing price of Nifty futures.

Domestic stocks closed sharply lower on Thursday, with both major benchmark indexes down more than one percent.

The Sensex index closed up 836.34 points, or 1.04%, at 79,541.79 points; the Nifty 50 index closed down 284.70 points, or 1.16%, at 24,199.35 points.

After an upward rebound in the past two sessions, Nifty 50 formed a long black candlestick on the daily chart.

“The key overhead resistance at 24,500 remains intact and the market cannot sustain above it. Technically, however, this candle pattern does not show any signs of a significant decline from here, but more is expected. It may consolidate or fall slightly till 23,800 points or a slight low,” said Nagaraj Shetti, senior technical research analyst at HDFC Securities.

He said that there are still risks in the short-term trend, and the market has large short-term fluctuations.

“A meaningful upside bounce is not expected until Nifty breaks above 24,500 points. At the lows, Nifty may find support around 23,800 points.

Today, our expectations for Nifty 50 and Bank Nifty are as follows:

Beautiful OI data

In terms of Nifty options, the maximum call OI is 24,500 then 25,000 strike, while the maximum put OI is 23,000 then 24,000 strike. The sale price of the call option is 24,500 and the strike price is 24,200. The sale price of the put option is 24,200 and the strike price is 24,000.

Chandan Taparia, head of equity derivatives and technology at MOFSL Wealth Management, said options data showed a broader trading range between 23,500 and 24,500 points, compared with the recent trading range between 23,800 and 24,200 points.

Naughty 50 predictions

The Nifty 50 index plunged from near the mark on November 7, closing the day down 284 points.

“On the daily chart, we can observe that the Nifty 50 index is facing selling pressure from the upper end of the descending channel. The daily momentum indicator has a positive crossover, which is a buy signal, while the Nifty is moving around the key hourly moving average We will maintain our bullish outlook on Nifty with a short-term target of 25,350, with 24.000 being the key support,” BNP Paribas Sharekhan Technical. said research analyst Jatin Gedia.

Aditya Agarwal, Head of Derivatives and Technical Analysis at Sanctum Wealth, pointed out that the Nifty 50 failed to sustain above the 24,500-point resistance zone and profit-taking from higher levels led to the index falling below the 24,200-point level.

“Weekly expirations further added to the pressure on the market with the index almost closing at multi-day lows. From a short-term perspective, Nifty 50 is expected to consolidate between 24,000-24,500 points but with no clear direction. Drop to 24,120-24,040 points can be used to initiate fresh longs, while a drop to 24,450-24,500 points can be used to book profits on long trades,” said Agarwal.

Dr. Praveen Dwarakanath, Vice President, Hedged.in believes that the Nifty 50 closing below the 10-day EMA further strengthened the downward trend.

“Weekly momentum indicators continue to point to further losses for the index. The trend line shows that if support at 23,800 is breached, the index could quickly fall towards the 23,000 level. Option writer data for next week’s expiration shows a bullish The number of options written increased above 24,200 points, exacerbating the weakness in the index.

Bank’s exciting predictions

On Thursday, the Bank Nifty index closed down 400.90 points, or 0.77%, at 51,916.50, forming a red candle on the daily chart and forming a lower bottom pattern.

“Bank Nifty faced rejection near 52,500 points and witnessed some profit booking. However, it has held the key support zone of 51,750-51,650 points and we expect its tone to remain sideways bullish from a short-term perspective,” Jatin Gedia express.

On the bright side, there is resistance in the gap area in the Mediterranean on October 3, ranging from 52,650 – 52,850, he added.

Dr. Praveen Dwarakanath said that during the day’s decline, Bank Nifty found support at the 30-day moving average and managed to close above it. However, it continues to face resistance near 52,500 points, indicating continued weakness.

“A break below 51,000 could trigger a decisive move towards 49,500. Momentum indicators suggest further downside potential for the index. For weekly expirations, options data shows call writing volume increasing to 52,000 and above, suggesting the index may It’s on a downward trend,” he said.

Disclaimer: The above views and recommendations only represent the views and recommendations of individual analysts or brokerage firms and have nothing to do with Mint. Investors are advised to consult a certified expert before making any investment decisions.