Nifty 50, Sensex today: How will the Indian stock market move on October 3

Nifty 50, Sensex today: Following poor global signals amid growing Middle Eastern tension and concerns about full fledged conflict between Iran and Israel, Indian stock market indexes, Sensex and Nifty 50, are probably going to open lower on Thursday.

Furthermore suggesting a gap-down start for the Indian benchmark index are the movements on Gift Nifty. Trading at 25,720 level, the Gift Nifty was discounting around 255 points off the Nifty futures’ last close.

The Indian stock market indexes closed Tuesday the erratic session flat with a bearish tilt.
While the Nifty 50 rested 13.95 points, or 0.05%, down at 25,796.90, the Sensex slipped 33.49 points to conclude at 84,266.29.

On the daily chart, Nifty 50 plotted a little candle with upper shadow.

Technically, this trend points to a sell on increase possibility on the market. On Tuesday, however, the strong follow-through selling impulse vanished. The daily chart shows the same positive chart pattern with higher tops and bottoms; the current market weakening fits the new higher bottom development of the pattern. Senior Technical Research Analyst at HDFC Securities Nagaraj Shetti said that the higher bottom reversal has to be verified.

Shetti thinks the market is now moving into a short term negative correction but the near term uptrend position of Nifty 50 is unchanged. This week, Nifty is projected to find support between 25,500 and 25,400 levels; from the lows, she might see a durable upward comeback.

Nifty 50 and Bank Nifty today should deliver as follows:

Nifty OI Information

While the highest put-side OI was concentrated at the 25,500 strike price, indicating strong support around the 25,600 level for Nifty, said Mandar Bhojane, Technical Research Analyst at Choice Broking, Nifty open interest (OI) saw highest call-side OI at the 26,000 and 26,200 strike prices.

Nifty 50 Projective Analysis

Consolidated on October 1 within a range fluctuation, Nifty 50 finished the day 13 points below.

“Nifty 50 indicated market hesitancy by forming a doji pattern on the daily chart with a lengthy upper shadow.

Strong call writing at 25,800 implies that, given enough time, it may serve as strong opposition. There is immediate support around 25,750; a significant breach below this might drive the index to 25,600 / 25,500. On the plus side, a rise over 25,800 might drive Nifty towards 26,050, where sellers would start to show activity once again, said LKP Securities Senior Technical Analyst Rupak De.

Co-founder of Stock Market Today VLA Ambala pointed out that at all-time highs the Nifty 50 index produced a bearish “Dark Cloud Cover” candlestick pattern.

Based on its monthly RSI reading—above 83—the indicator is still in the overbought zone. In three trading days, Nifty has down around 2%. Based on its present moves, it is probably going to witness additional profit-booking activity. My study indicates traders should search for a “sell on rise” approach. If Nifty is trading at about 1% of its 20-day EMA, market players may target the range if they are waiting for a sell-on rally. To maximize the most recent advancements, I would suggest tracking this for one to three days, Ambala added.

Taking these factors into account, she predicts the benchmark Nifty 50 to acquire support between 25,700 and 25,550 and encounter resistance between 25,830 and 25,925.

The Nifty 50 stabilized close to the previous closing, according to Dr. Praveen Dwarakanath, Vice President of Hedged, suggesting a little loss and Tuesday’s low of 25,740 level might provide immediate index support.

Indicating weakness to persist, the ADX DI+ line on the daily chart nearly crosses the ADX average line. Since they lie closer to the oversold zone, the momentum indicators also imply a modest space on the downside. Data on options writers revealed more call writing in the expiration above 25,800 levels for this week, suggesting a potential closing below this level, Dwarakanath added.

Nifty Prediction of Bank Nifty

At 52,922.60 on Tuesday, Bank Nifty index closed 55.50 points, or 0.1%, lower creating a minor bullish candlestick pattern.

“Bank Nifty challenged its support at 52,800 levels; a breach of this would lower it further down to 52,000 or 51,200 levels. Two days of decline have pushed the momentum indicators to the oversold zone, so two days indicate a modest space for a further fall. Dwarakanath remarked.

He claims that while the data of Bank Nifty options writer shows higher writing at 53,000 levels, suggesting a stop in the slide at the current levels, an increasing call writing predicts weakness to continue, thereby showing the bias in Bank Nifty, laterally to the downside.