The Indian stock market is expected to begin trade on a positive note on Tuesday, September 9, as global cues remain strong and the Gift Nifty indicates an upbeat opening. With Nifty 50 and Sensex holding key support levels in the previous session, market participants will closely watch global developments and domestic technical indicators for the day’s direction.
Global Market Cues Driving Sentiment
- Nasdaq hits record close: The US stock market ended higher on Monday, led by gains in technology shares. Nasdaq touched a new record, boosting global investor sentiment.
- Dow Jones and S&P 500 steady: The S&P 500 and Dow Jones also closed with gains, reflecting broad-based optimism.
- Asian markets positive: Early trends from Asian markets show a mixed but overall positive tone, supporting Indian equities.
These global cues are expected to provide momentum for Nifty 50 and Sensex in today’s trade.
Gift Nifty Signals Positive Opening
The Gift Nifty, which acts as an indicator for Indian equities, was trading near 24,940, a premium of nearly 47 points over the previous close of Nifty futures. This suggests that Indian stock market indices are likely to open higher on Tuesday.
Previous Session Recap: Nifty 50 and Sensex Close Higher
On Monday, Indian equities ended marginally higher, extending their resilience despite global volatility.
- Sensex performance: The BSE Sensex rose 76.54 points (0.09%) to close at 80,787.30.
- Nifty 50 performance: The NSE Nifty 50 gained 32.15 points (0.13%) to settle at 24,773.15.
- Market trend: A small red candle with a long upper shadow was formed on daily charts, indicating consolidation with volatility.
The fact that Nifty managed to close above its 10-day and 20-day EMA near 24,730 signals strength at lower levels.
Technical Outlook for Sensex and Nifty 50
According to technical analysts, the short-term market outlook remains volatile but positive.
- Resistance levels for Nifty 50: 24,900 – 25,000
- Support levels for Nifty 50: 24,700 – 24,730
- Sensex levels to watch:
- A breakout above 81,200 may trigger a rally towards 81,500 and further up to 81,800.
- Chart signals: The formation of a small red candle with upper shadow indicates selling at higher levels, but buying is emerging at dips.
Expert Views on Nifty 50 and Bank Nifty
Nagaraj Shetti, Senior Technical Analyst, HDFC Securities
- “Nifty 50 continues to show positive bias. The index is witnessing resistance around 24,900 – 25,000, but as long as it holds above the 10/20-day EMA, the underlying trend remains bullish.”
Bank Nifty Outlook
- Bank Nifty has been consolidating, facing stiff resistance at higher levels.
- Traders should watch for a breakout above 53,000 for fresh momentum.
- Immediate support is seen near 52,200 levels.
Key Factors to Watch in Trade Today
- US Market Rally Impact – Nasdaq’s record closing is likely to push buying interest in IT and technology-heavy sectors in India.
- Rupee vs Dollar Trend – Currency movement will influence FIIs’ activity.
- Crude Oil Prices – Stable oil prices provide relief for Indian equities.
- Institutional Activity – FIIs and DIIs’ buying/selling trend will remain crucial.
- Sector-specific Momentum – IT, banking, and auto stocks are expected to remain in focus.
Market Strategy for Traders
- For Nifty 50:
- Buy on dips around 24,730–24,750 with a stop loss at 24,650.
- Target resistance near 24,950–25,000.
- For Sensex:
- Hold positions as long as the index sustains above 80,500.
- Watch for breakout moves above 81,200.
- For Bank Nifty:
- Accumulate positions on dips towards 52,300–52,500.
- A breakout above 53,000 could trigger a rally towards 53,500–54,000.
Conclusion
The Indian stock market is likely to open higher on September 9, supported by global strength and a positive outlook in Gift Nifty. While volatility may persist, the Nifty 50 and Sensex trend remains bullish as long as key support levels are held. A decisive move above resistance levels could trigger a fresh rally in the coming sessions.
Investors and traders should stay cautious, track global cues, and follow disciplined trading strategies with strict stop-loss levels.
