Nifty 50, Sensex today: What to expect from stock market indices in trade on September 27

The Indian stock market indices are expected to open lower Wednesday tracking weak global cues.

The trends on Gift Nifty also indicate a tepid start for the Indian benchmark index. The Gift Nifty was trading at around 19,616 level as compared to the Nifty futures’ previous close of 19,666.

On Tuesday, the domestic equity indices Nifty 50 and Sensex closed flat with a lower bias following weak cues from global peers as the US Treasury yields hit a multi-year high and the US dollar rose to a 10-month high level amid concerns over interest rates staying high for an extended period and its impact on the global economy.

The Sensex closed 78 points, or 0.12%, lower at 65,945.47, while the Nifty 50 finally ended at 19,664.70, down 10 points, or 0.05%. 

Also Read: 6 things that changed for the stock market overnight - Gift Nifty to falling US consumer confidence

Nifty formed a small body of negative candle on the daily chart with minor upper and lower shadow.

“Technically, this pattern shows a squeeze type formation, where the underlying prepares to show big moves on either side eventually. After the formation of doji type candle pattern on Monday, the market was expected to show a reasonable upside bounce in the subsequent session. Hence, an inability of bulls to witness any sustainable upside bounce from here could eventually result in a decisive downside breakout of the present range movement,” said Nagaraj Shetti, Technical Research Analyst, HDFC Securities.

The high low areas to be watched for the short term are around 19,750-19,600 levels, he added.

Also Read: Buy or sell: Vaishali Parekh recommends buying in 3 stocks today - September 27

Here’s what to expect from Nifty 50 and Sensex today:

Nifty

Nifty remained largely range-bound throughout the previous session as traders appeared uncertain. 

“However, the short-term sentiment remains bearish as Nifty closed below the 21-EMA. Looking ahead, the trend is expected to stay bearish as long as Nifty remains below the 19,750 level. A support level is established at 19,600, below which the index may decline further towards 19,250,” said Rupak De, Senior Technical analyst at LKP Securities.

Exciting news! Mint is now on WhatsApp Channels Subscribe today by clicking the link and stay updated with the latest financial insights! Click here!

Bank Nifty

The Bank Nifty index traded in a narrow range and dropped 142 points to end at 44,624 on Tuesday.

“The Bank Nifty index has remained in a consolidation phase, marked by the bulls defending the 45,500 level while the bears have established a hurdle around 45,000. To establish a trending move, the index must break out of this range on either side, providing a clear direction for the market,” said Kunal Shah, Senior Technical & Derivative analyst at LKP Securities.

Also Read: Day trading guide for today: Six buy or sell stocks for Wednesday —September 27

Currently, the index is trading below its 20-day moving average (20DMA), and a decisive move above this level could trigger positional buying on the long side, potentially changing the landscape of this consolidation phase, he added.

Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before taking any investment decisions.