Domestic markets are expected to open on a flat note, ahead of the US Federal chief’s pronouncements at the Jackson Hole summit.
Gift Nifty at 24,865 signals a gain of about 60-70 points for Nifty at open. According to analysts, the markets are likely to move in a range ahead of the US Fed chief Jerome Powell’s Friday speech at the summit.
July minutes of the US Fed revealed that the majority of FOMC members are for a cut in interest rates. Following this, the majority of Asia-Pacific stocks are up in early deals on Thursday.
Prashanth Tapse, Senior VP (Research), Mehta Equities Ltd, said: The Fed chair’s speech at the Jackson Hole conference on Friday will be eyed by investors for any hint of a rate cut which could fuel buying support.
However, analysts said the undertone of the Indian markets still remains bullish.
Osho Krishan, Senior Analyst - Technical & Derivatives, Angel One Ltd, said: the undertone seems buoyant, with action across the broader market space. “Maintaining exclusivity is advisable for outperformance.,” he advised and added that a close tab is required on the BankNifty index, as its participation would play a crucial role in setting up momentum in the market. Also, one must stay vigilant with global developments.
The options marketsignals a bullish sentiment, with more Put writing than Calls as the index maintains its strong bullish structure, said
Dhupesh Dhameja, Technical Analyst, SAMCO Securities, said:Significant open interest is observed at the 25,000 Call (1.2 crore contracts) and the 24,500 Put (80.33 lakh contracts), with notable activity around the 24,600-24,700 Puts and 24,800-24,900 Calls. The Put-Call Ratio (PCR) has decreased slightly from 1.13 on Tuesday to 1.10, still indicating positive sentiment as it remains above 1, he added. The Max Pain Point, where the most open options contracts are, is at 24,700, serving as a key level influencing the index’s movement, he observed.