On Thursday, the Indian stock market is poised for a positive opening, with benchmark indices like Sensex and Nifty 50 expected to rise. This optimism comes on the heels of favorable global market signals following the US Federal Reserve’s recent monetary policy announcement. Early indicators from Gift Nifty, currently hovering around 23,065, suggest a gap-up start for the Indian market, showing a premium of about 93 points compared to Nifty futures’ last close.

Positive Trends in the Indian Market

The Indian equity market experienced a fruitful session on Wednesday, as the Nifty 50 closed above 22,900. The Sensex climbed by 147.79 points, marking a 0.20% increase to finish at 75,449.05. Meanwhile, Nifty 50 gained 73.30 points, rising 0.32% to close at 22,907.60.

Sensex Outlook

The Sensex has maintained its upward trajectory, closing higher by 148 points on Wednesday. According to Shrikant Chouhan, Head of Equity Research at Kotak Securities, the index is currently showing a mix of strength and uncertainty. "The market’s short-term outlook remains positive, but we may see some range-bound trading due to overbought conditions," he noted, indicating that key support zones lie between 75,200 and 75,000, while resistance levels could be between 75,800 and 76,000. A decline below 75,000 may jeopardize the current uptrend.

Nifty 50 Forecast

The Nifty 50 also displayed strong performance, ending the day with a 73-point increase. Nagaraj Shetti, a Senior Technical Research Analyst at HDFC Securities, pointed out that the index is approaching critical resistance levels between 23,000 and 23,100. "This resistance could lead to further consolidation or minor corrections in the near term," he explained. Immediate support is anticipated around the 22,800 to 22,750 range.

Hrishikesh Yedve, AVP of Technical and Derivatives Research at Asit C. Mehta Investment Intermediates Ltd, emphasized the importance of 22,800 as a support level, suggesting that traders should adopt a ‘buy on dips’ strategy due to the overall positive market momentum.

Key Insights from Analysts

• Bajaj Broking Research noted that the Nifty 50 appears to be on track for levels between 23,000 and 23,200. Support is projected at 22,500 to 22,600.
• VLA Ambala, Co-Founder of Stock Market Today, remarked on the resurgence of oversold stocks, encouraging investors to consider high-quality stocks for accumulation.

Bank Nifty Performance

The Bank Nifty index rose by 388.10 points, or 0.79%, closing at 49,702.60. This marks the fifth consecutive session of gains, reinforcing the bullish trend. According to Hrishikesh Yedve, if the index remains above 49,650, the upward momentum is expected to persist, with the psychological barrier of 50,000 acting as a critical resistance point.

Future Projections for Bank Nifty

• Bajaj Broking Research anticipates that the Bank Nifty will continue on a positive trajectory, potentially reaching 50,100 to 50,600 in the upcoming sessions. Immediate support levels are identified between 48,800 and 49,000.
• The index has been consolidating within a broad range of 47,700 to 50,600 for the past nine weeks, and buying interest is emerging from the lower boundary.

As the market gears up for Thursday’s trading, the overall sentiment remains optimistic. Investors are encouraged to stay informed and consider strategic approaches, especially in light of the recent positive developments.