Traders may be in for a volatile session today due to the expiry of the November series of Futures and Options contracts. Apart from that, market participants will track global cues, stock-specific action, the rupee's trajectory, and foreign fund flow for market direction.
Finance Minister Nirmala Sitharaman yesterday on Wednesday defended her handling of the economy, saying that while economic growth had slowed in the past few quarters, the country was not undergoing a recession. The finance minister also touched upon the difficulties in meeting the fiscal deficit, and indirectly signalled a fiscal slippage for the year.
In stock-specific news, Zee Entertainment yesterday said three directors had resigned from its board, two of them citing related-party transactions, among other reasons, for quitting.
Stocks on Wall Street set all-time highs after a batch of US economic data brightened the economic outlook. The Dow Jones Industrial Average rose 0.15 per cent, the S&P 500 gained 0.42 per cent, and the Nasdaq Composite added 0.66 per cent.
Asian share markets wobbled on Thursday. MSCI's broadest index of Asia-Pacific shares outside Japan was little changed in early trade, while Japan's Nikkei flitted in and out of positive territory. SGX Nifty, signaled a subdued start to the day for domestic indices.
In commodities, oil eased on Wednesday although losses were limited by optimism that a U.S.-China trade deal would be reached soon. Brent crude futures settled at $64.06 a barrel, down 21 cents.
Back home, equity benchmarks ended at fresh closing high on Wednesday. The S&P BSE Sensex climbed 199 points to end at 41,021, and the Nifty50 index closed at a record high of 12,101.
According to analysts, traders should buy every dip keep a close eye on 12,000 where the maximum put open interest exists. However, 12,200 should act as a resistance. If Nifty is able to breach level of 12,200 it will lead to short covering move up to 12,270.
Here's a trading idea by by CapitalVia Global Research Limited who recommend buying Maruti Suzuki India Limited above Rs 7,301 for the target of Rs 7,540 with stop-loss at 7,150.