# Gift Nifty is indicating solid bullish start on the last day of September F&O expiry.

*Morning Action @ 7 AM – Thursday, September 26th 2024*

# Gift Nifty is holding well above the dotted lines indicating Nifty to trade with positive bias on the last day of September F&O expiry.

*7:00 AM GLOBAL UPDATE:*
# GIFT Nifty 🇮🇳: (+69, 26059)
# Dow Futures: (+8, 41922)
# Nasdaq 100 Futures (+101, 20074)

# Nikkei (+796, 38655)
# Hang Seng (+173, 19303)

# Dow Jones (-293, 41915)
# Nasdaq (+8, 18082)
# Bovespa (-569, 131586).

MARKET TRENDS:
# Global: Positive
# FII: Negative (-973.94 Cr)
# DII: Positive (+1778.99 Cr)
# Sentiment: Bullish
# Market Breadth: Positive
# Technicals: Higher high/low
# F&O: 25500 – 26500 zone.

# INDIA VIX 12.74 (-4.85%)
# Nifty PCR (26th Sept) 1.31
# Bank Nifty PCR (30th Oct) 1.03

# Nifty Outlook: Nifty is likely to aim into yet another record high.

# WHAT TECHNICALS TELLS US ON NIFTY & BANK NIFTY:

Nifty Technically:
Nifty (CMP: 26004)
SUPPORT: 25900/25600
RESISTANCE: 26300/26700
RANGE: 25900-26250
BIAS: Positive
21 DMA: 25338
50 DMA: 24895
200 DMA: 22994

Bank Nifty Technically:
BANK NIFTY (CMP 54102):
SUPPORT: 53800/53550
RESISTANCE: 54700/55500
RANGE: 53900-54600
BIAS: Positive
21 DMA: 52068
50 DMA: 51462
200 DMA: 48978

 

*WHAT EXACTLY HAPPENED AT WALL STREET IN OVERNIGHT TRADE:*

# Wall Street ended mixed as bullish traders ignored China’s central bank’s stimulus and instead braced for a speech by Federal Reserve Chair Jerome Powell scheduled for Thursday morning.

# Also, Wall Street was seen struggling as the path for rate reductions remains unclear.

According to CME Group’s FedWatch Tool, futures traders are assigning a 59% chance to another half-point cut – up from 37% a week ago – at the next Fed meeting.

# After inaugural Fed rate cut, focus turns to US PCE inflation to trickle on Friday, September 27th. Friday’s release of the Fed’s preferred inflation gauge – the Personal Consumption and Expenditures (PCE) Price Index – is also likely to force market participants to recalibrate some of their bullish bets.

# WTI Crude oil eases towards the $69.75 per barrel.

# COMEX Gold trades firm at $2661 per ounce.

# Copper futures continues to flirt with their highest levels in over two months at $4.40 per pound after top consumer China unveiled a slate of easing measures to support the economy.

NEED TO KNOW:

# Dalal Street finally got its historic Nifty 26,000 milestone on closing basis.

# Sensex too is now above its psychological 85,000 mark.

# The big question: Can We Trust Nifty Bulls’ Latest Stamped?

# Well, our call of the day suggests that Nifty is unlikely to look back as investors shall continue to cheer the Federal Reserve’s jumbo-sized rate cut.

# The 6-positive catalyst driving sentiments: Liquidity, liquidity and liquidity.

1) Liquidity, liquidity and liquidity.

2) Corporate India is in pretty good shape.

3) Indian economy’s resilience.

4) China’s widest stimulus in nearly a decade.

5) A cooldown in inflation will allow the Fed to cut interest rates several times this year.

6) The Fed’s 50 basis point jumbo rate cut is likely to trigger expectations of global interest rate cuts.

# Long story short: Nifty 26000 or Sensex 85000 are just milestones along the way, and definitely not a destination.

# Meanwhile, after inaugural Fed rate cut, focus turns to US PCE inflation to trickle on Friday, September 27th

# Buzzing stocks:

1) M&M stock price hit new high at Rs 3149 as its market-cap nears Rs 4 trillion; zooms 100% in 10 months.

2) NTPC’s stock price is in limelight on reports that NTPC Green Energy IPO will raise Rs 10,000 crore and is likely to be opened in the first week of November.

 

 

# Now, here is the preferred trade on Nifty and Bank Nifty:

Nifty (26004): Buy at CMP. Stop at 24755. Zone. Targets 26153/26350. Aggressive targets at 26500-27000 zone.

Bank Nifty (54102): Buy at CMP. Stop at 53303. Targets 54500/54750. Aggressive targets at 55300-55700 zone.

# Our chart of the day is bullish on TATA POWER, POWERGRID, ITC and UBL on any intraday weakness with an interweek perspective.

# The 1 Stock to Buy Right Now:

Buy POWERGRID (CMP 364): Buy at CMP. Stop at 331. Targets 373/389. Aggressive targets at 419. (Interweek Strategy). Rationale: Momentum oscillators in bullish mode. Higher high/low.

Trader Premium Services

*Disclaimer:* This does not construe to be an investment advice. Stock market investments are subject to market risks. All information is a point of view, and is for educational and informational use only. The author accepts no liability for any interpretation of articles or comments on this platform being used for actual investments. Registration granted by SEBI and certification from NISM in no way guarantee performance of the intermediary or provide any assurance of returns to investors.