Market Live Updates: Nifty May Remain Flat Or Witness Some Correction
Trade Setup For Today, Wednesday, 5 January: The Indian equities markets were in the positive territory for the 3 rd straight session in a row on January 4, with the Sensex and the Nifty adding a percent each led by increases in power stocks, oil & gas companies and banking stocks.
After a flat start, the market resumed its upward trend and remained in the positive terrain through the session to close near its day’s high.
Considering mixed cues from global markets, trends on the SGX Nifty suggest a flat start for the broader index in India today. The Nifty futures were trading around 17,815 on the Singaporean Exchange at 7:35 IST.
In the US market, the Dow Jones Industrial Average hit a record high on Tuesday for the second day in a row, as financial and industrials scored big gains that put the index up over 200 points.
The Nasdaq Composite, on the other hand, dropped over 2 percent as tech shares lost steam. Financials were up nearly 2 percent, while industrials rose 1 percent.
While all three indices were higher in afternoon trading, the S&P 500 was down slightly after a volatile morning session.
Also, the weekly options expiry is almost at its end, and the data show heavy call unwinding at 17,500 indicating that this level will be held on easy until the expiry.
Furthermore, 17,600 and 17,700 saw heavy put writing being done. This shows that market participants see little possibility of NIFTY slipping below 17,700; this strike saw a maximum put writing of 3.3 million shares.
Nifty May witness correction before trying to touch 18000 and then the near-term high of 18150-18200 levels.
However, the overall trend is bullish and there doesn’t seem to be a major correction on the cards because Omicron related news.