Ahead of Market: 10 things that will decide D-Street action on Monday
Why it matters: The Nifty's direction on Monday will hinge on whether it can hold 22,500 support or decisively break 23,500.
- India VIX ended at 25.52, up 2.03%, indicating heightened volatility ahead of Monday's trading.
- Rupak De (LKP Securities) notes the Nifty moved above the 21 EMA on the hourly chart after a sharp rebound, suggesting improving optimism and a potential move towards 23,300, with support at 22,500.
- Nilesh Jain (Centrum Finverse) highlights continued market weakness for the sixth straight week, with the Nifty below 22,800, and warns that elevated volatility needs to ease for bulls to regain control, despite a strong rebound from the 22,180 support level.
- US markets ended slightly mixed on Thursday, with the Dow Jones Industrial Average falling 0.13% to 46,504.67 points, while the S&P 500 gained 0.11% and the Nasdaq Composite gained 0.18%, paring deeper losses amid Middle East diplomatic signals.
- European markets saw the pan-European STOXX 600 index dip 0.2% to 596.63 points on Thursday, trimming earlier losses on hopes of a Strait of Hormuz reopening despite US President Trump's threats against Iran.
Indian markets are poised for a volatile Monday, with analysts divided on the Nifty's immediate direction despite a sharp rebound and improving optimism on hourly charts. While Rupak De sees potential for a move towards 23,300, Nilesh Jain warns of continued weakness and elevated volatility, suggesting a strong rebound from 22,180 but requiring a decisive break above 23,500 to negate a bearish setup.
