Market Outlook for 5 October 2023

Ruchit Jain Ruchit Jain

Last Updated: 5th October 2023 - 10:50 am

Listen icon

Nifty started the day with a gap down opening and corrected along with the broader market sell-off in Wednesday’s session. However, we witnessed a recovery in Nifty from the low of 19333 and it ended well above 19400 with a loss of less than half a percent.

Nifty Today:

The weakness in the global markets continued to have a negative impact on our markets and thus a broad market sell-off was seen in the markets. However, as the index approached its support of 19300, a recovery was seen in the later part of the day with the help of IT stocks and heavyweight stocks such as HDFC Bank. Now the recent sell-off in the markets has mainly been due to selling by FIIs on account of rising bond yields in the US resulting in weak global equity markets. While they still have much of the positions in the index futures on the short side, it needs to be seen if they cover their shorts as we approach the support zone. As of now, 19300-19250 will be seen as the immediate support, but markets are likely to witness selling pressure on pullback moves if the data does not change. The immediate hurdle will be seen in 19650-19700 range where 20 DEMA is placed. Hence, traders are advised to trade with a stock specific approach and watch for changes in data, if any, in the next couple of sessions.

IT sector supports Nifty to recover from intraday lows

Market Outlook Graph 05-October-2023

The Nifty IT index had recently given a breakout from a long term resistance above 31500 at the start of September. This index rallied upto 33400 post breakout and has corrected in last couple of weeks to retrace again towards the breakout zone. This zone could now act as a support and hence, stocks from this sector could witness buying interest. 

Nifty, Bank Nifty Levels and  FINNIFTY Levels:

  Nifty Levels Bank Nifty Levels FINNIFTY Levels
Support 1 19360 43700 19520
Support 2 19280 43520 19470
Resistance 1 19530 44130 19650
Resistance 2 19600 44300 19710
How do you rate this article?
Characters remaining (1500)

FREE Trading & Demat Account
+91
''
By proceeding, you agree T&C*
Mobile No. belongs to
hero_form

Market Outlook Related Articles

Market Outlook for 16 July 2024

by Ruchit Jain 13th Sep 2024

Market Outlook for 15 July 2024

by Ruchit Jain 15th Jul 2024

Market Outlook for 12 July 2024

by Ruchit Jain 12th Jul 2024

Market Outlook for 11 July 2024

by Sachin Gupta 11th Jul 2024

Market Outlook for 10 July 2024

by Sachin Gupta 10th Jul 2024

Disclaimer: Investment in securities market are subject to market risks, read all the related documents carefully before investing. For detailed disclaimer please Click here.

Want to Use 5paisa
Trading App?