Expiry Day Volatility Seen as Nifty Remains Rangebound: Analysts
The Indian equity market has been witnessing a tight range-bound movement in recent times, with the Nifty 50 index struggling to break above the 25,200 level. Despite a marginal gain on Wednesday, the index’s technical picture remains uncertain, with analysts expecting volatility on expiry day.
On Wednesday, the Nifty 50 index managed to snap a three-day losing streak, ending marginally higher. The rebound, however, did little to alter the broader technical picture as the index remains within a tight 24,500 to 25,200 range. Analysts expect volatility on expiry day and advise watching for a breakout.
The Nifty 50 index has been stuck in a range for the past few weeks, with the index struggling to break above the 25,200 level. This has led to a lack of direction in the market, with traders and investors unsure of what to expect.
“The Nifty is rangebound, and it’s likely to remain so until we see a clear breakout,” said Vinod Nair, Head of Research at Geojit Financial Services. “The index is stuck in a tight range, and it’s difficult to predict what will happen on expiry day. However, we do expect some volatility as traders and investors adjust their positions.”
The Nifty 50 index has been trading in a range for several weeks now, with the index struggling to break above the 25,200 level. This has led to a lack of direction in the market, with traders and investors unsure of what to expect.
“The Nifty is a key indicator of market sentiment, and its movement can have a significant impact on the broader market,” said Rajat Rajgarhia, Head of Equity Research at Prabhudas Lilladher. “The index has been trading in a range for several weeks now, and it’s likely to remain so until we see a clear breakout. However, we do expect some volatility on expiry day as traders and investors adjust their positions.”
The Nifty 50 index has been influenced by several factors in recent times, including the performance of the rupee against the US dollar and the movement of crude oil prices. The rupee has been under pressure in recent times, with the currency falling to a record low against the US dollar. This has led to a rise in import costs, which has put pressure on the rupee.
The movement of crude oil prices has also had an impact on the Nifty 50 index. Crude oil prices have been rising in recent times, which has led to a rise in fuel costs. This has put pressure on the rupee and has led to a rise in import costs.
“The Nifty is a key indicator of market sentiment, and its movement can have a significant impact on the broader market,” said Rajgarhia. “The index has been influenced by several factors in recent times, including the performance of the rupee against the US dollar and the movement of crude oil prices. The rupee has been under pressure in recent times, with the currency falling to a record low against the US dollar. This has led to a rise in import costs, which has put pressure on the rupee.”
The Nifty 50 index has also been influenced by the performance of the economy. The Indian economy has been facing several challenges in recent times, including a rise in inflation and a decline in economic growth. This has led to a lack of direction in the market, with traders and investors unsure of what to expect.
“The Nifty is a key indicator of market sentiment, and its movement can have a significant impact on the broader market,” said Nair. “The index has been influenced by the performance of the economy in recent times, including a rise in inflation and a decline in economic growth. This has led to a lack of direction in the market, with traders and investors unsure of what to expect.”
In conclusion, the Nifty 50 index is expected to remain rangebound in the near term, with analysts expecting some volatility on expiry day. The index has been trading in a tight range for several weeks now, and it’s likely to remain so until we see a clear breakout. However, the movement of the rupee against the US dollar and the movement of crude oil prices are likely to have an impact on the index in the near term.
