Market Outlook for 03 January 2024

Our markets witnessed a pullback move in Tuesday’ session as the indices corrected during the day. However, certain sectors continued to outperform and amidst an even-steven market breadth, Nifty ended the day at 21665 with a loss of one-third of a percent.

Nifty Today:

The indices witnessed some pullback in Tuesday sessions as the IT and the Banking heavyweights witnessed some selling pressure. However, the overall market was not much negative and certain sectors such as Pharma and Oil & Gas continued its upmove. The overall data from the FIIs remain positive with minor unwinding seen, while in the options segment the put writers in the index had to cover their positions. The RSI readings still remain positive and thus, this correction should just be seen as a pullback move for now. The immediate support for Nifty is placed around 21500 while resistances are seen around 21800 and 21970 mark. Traders are advised to trade with a stock specific approach for a while and look for buying opportunities in stocks which are showing relative outperformance to the benchmark.  

Profit booking in indices, but broader markets continues the momentum

Nifty, Bank Nifty Levels and  FINNIFTY Levels: