Market Outlook for 28 March 2024

Nifty started the day on a positive note and rallied higher towards 22200 mark. However, the index was unable to surpass that level and it consolidated within a range with a positive bias to end above 22100 with gains of over half a percent.

Nifty Today:

Nifty has consolidated within a range in last couple of sessions but the biasness seems positive as the intraday declines are witnessing buying interest. The heavyweight Reliance Industries rallied to provide support to the benchmark while the overall market breadth was even steven. FII’s had majority of their positions on the short side in the March series, but it will be important to see how they roll over their positions ahead of another long weekend. In the options segment, 22000 put options have decent open interest outstanding which would be seen as the important support on the expiry day, while the 61.8 percent retracement of the recent correction at 22220 is the immediate hurdle.

The Bank Nifty index has also been witnessing some resistance near the 47000 mark which is the 50 percent retracement level. If both the indices surpass these mentioned hurdles, then the momentum could accelerate on the positive side. Hence, traders are advised to keep a close tab on the levels. 

                                   Options data hints at support of 22000 for the expiry day 

The Midcap index which recently corrected sharply has seen a gradual recovery and the RSI oscillator has given a positive crossover on the daily chart. Thus, one can look for stock specific buying opportunities where price volume action is bullish.

Nifty, Bank Nifty Levels and  FINNIFTY Levels: