Domestic markets are expected to see a flat opening on Thursday amid mixed global signal. Analysts expect the technical pull back that witnessed on Wednesday may continue for the next couple of days. Most of the beaten-down stocks outside Sensex and Nifty witnessed strong buying at lower levels. This trend is likely to continue, they said and added the trend is likely to continue as institutions have started to accumulate them.
A slew of positive news on the economic front buoyed market participants.
businessline has reported that Indian economy showed resilience despite a lower-than-expected third-quarter growth as GST collections and automobile sale numbers showed a robust picture and Moody’s Investors Service raised the GDP growth forecast for 2023 to 5.5 per cent from 4.8 per cent projected in November 2022.
Meanwhile, SGX Nifty at 17,470 indicates a flat opening for desi markets. Asian markets are mixed, but moving in a narrow range in early deal on Thursday, mimicking the US stocks that closed in different colors on Wednesday.
Siddhartha Khemka, Head – Retail Research, Motilal Oswal Financial Services Ltd, Global sentiments were positive after strong PMI data in China, which boosted hopes of global economic recovery. “We expect markets to see some recovery after the sharp fall in the last few days. However, cautiousness should be maintained on the back of intensified FIIs selling and upcoming macro data globally,” he said.
Rupak De, Senior Technical Analyst, LKP Securities, “the Nifty index witnessed some buying momentum from the lower levels and managed to surpass the hurdle of 17,400 where a significant amount of call writing was visible. The index broader trend remains bearish but since we are in an oversold territory a minor pullback can be witnessed if the index sustains above 17,400. The index if it fails to surpass the level of 17,500 will again witness selling pressure.”