Another Flat Opening. Can IT Stocks Perform Ahead of Results? - Pre-Market Analysis Report

What Happened Yesterday?

NIFTY started Friday at 24,213 with a gap-down and fell. It took support soon and tried to move back up. After trading the entire day in red, the index saw a 150-point rally in the last 30 minutes. With this, NIFTY ended the day at 24,323, up by 21 points or 0.09%.

U.S. markets closed in green. European markets closed mixed.

What to Expect Today?

Asian markets are trading mostly in the red.

The U.S. Futures are trading in the red.

GIFT NIFTY is trading flat at 24,392, down by 6 points.

All the factors combined indicate a flat opening in the market.

NIFTY has supports at 24,220, 24,170 and 24,050. We can expect resistances at 24,300, 24,360, 24,400 and 24,500.

BANKNIFTY has supports at 52,620, 52,400 and 52,000. We can expect resistances at 52,800, 53,000 and 53,200. 

Foreign Institutional Investors net-bought shares worth Rs 1,241 crores. Domestic Institutional Investors net-sold shares worth Rs -1,651 crores.

INDIA VIX fell to 12.69.

GIFT NIFTY is indicating a gap-down opening, but it could be a false alarm.

Last Friday was the first gap-down opening in NIFTY since June 26. But in the end, heavy buying by institutional investors pushed it up.

HDFC Bank ADR in the U.S. is down 7%, but this is just a reflection of the fall over the last 2 days.

TCS will announce its Q2 results on July 11th, Thursday. By Friday, we will get both the U.S. and Indian inflation rates. 

And the budget will be announced on July 23rd which is a Tuesday. These are all the upcoming events that the market is looking forward to. 

Reliance has broken the flag pattern we discussed last week and reached an all-time high. The I.T. index is very close to its 52-week highs, so keep that in mind.

DIIs cannot stay selling in the market for too long, especially with fresh SIPs of the month flowing in.

We will be continuing our BANKNIFTY trades and NIFTY trades today. You can check out the marketfeed app or our website for new trades!

All the best for the day!