GIFT Nifty soars 800 points; here's the trading setup for today's session

Equity markets remained under pressure for the whole of last week due to election-related uncertainties and aggressive FII selling. However, following the predictions of a BJP win by exit polls, analysts expect the market to react positively on Monday.

Analysts said largecaps in financials, capital goods, automobiles and telecom are likely to lead the short rally before the big numbers with a mix of public sector companies in focus.

Here's breaking down the pre-market actions:

State of the markets
Gift Nifty (Earlier SGX Nifty) signals a positive start.

Nifty futures on the Gift Nifty traded 812 points or 3.58% higher at 23,500.

Tech View
On the daily chart, the Nifty has now bounced back from close to the 50-day SMA after four sessions of losses. 14-day RSI at 50.33 is falling and remains below its 9-day EMA which indicates that the momentum is weakening.

India VIX: India VIX, which is a measure of the fear in the markets, rose 1.77% to settle at 24.6 levels.

Also Read: FPIs may cut bearish bets, releasing bulls on D-Street today

Asian Market Wrap

• S&P 500 futures rose 0.2% as of 9:09 a.m. Tokyo time
• Hang Seng futures rose 0.4%
• Japan’s Topix rose 1%
• Australia’s S&P/ASX 200 rose 0.8%
• Euro Stoxx 50 futures fell 0.2%

US equities
The S&P 500 and Nasdaq posted losses for the week on Friday, breaking their five-week winning streaks, as investors digested an inflation report and assessed when the Federal Reserve might begin cutting interest rates.

The Dow rallied on Friday. The S&P 500 gained 44.53 points, or 0.85%, to end at 5,280.01 points, while the Nasdaq Composite lost 2.06 points, or 0.01%, to 16,735.02. The Dow Jones Industrial Average rose 595.78 points, or 1.56%, to 38,707.26.

Oil falls
Oil prices declined at the start of the week, even though the OPEC+ coalition decided to prolong significant reductions in production until 2025. Brent futures for delivery in August dropped by 24 cents, representing a 0.3% decrease, reaching $80.87 per barrel at 0030 GMT.

Stocks in F&O ban today
There are no stocks under ban today.

Securities in the ban period under the F&O segment include companies in which the security has crossed 95% of the market-wide position limit

FII/DII action
Foreign portfolio investors were net buyers at Rs 1,613 crore on Friday. DIIs, meanwhile, bought shares worth Rs 2114 crore.

Also Read: Stocks in news: Adani Ports, REC, Maruti Suzuki, Hero MotoCorp, MosChip Tech

Rupee
The rupee paired all its early gains and settled with a steep loss of 20 paise at 83.49 against the US dollar on Friday amid volatile domestic equity markets and unabated outflow of foreign funds.

FII data
The net short of FIIs increased from 2.97 lakh crore on Thursday to Rs 3.18 lakh crore on Friday.