Sensex, Nifty trade setup: 10 things you should know ahead of Wednesday's session

Indian equity benchmarks ended flat on Tuesday, as losses in index heavyweight Reliance Industries and Axis Bank countered gains in HDFC twins (HDFC and HDFC Bank) and Maruti. The 30-share BSE Sensex pack edged 37 points or 0.06 per cent higher to close at 60,979 today, while the broader NSE Nifty index finished almost unchanged at 18,118. On the sectoral front, state-owned lenders, pharma and metal stocks took a beating today. "Due to selling pressure in banking shares, the indices anchored close to the flatline. Auto stocks were in focus prior to the earnings results of the sector major. Hopes of a soft landing of the US economy along with the anticipation of a lesser rate hike boosted global bourses," said Vinod Nair, Head of Research at Geojit Financial Services.

Here are 10 things you should know ahead of Wednesday's session:

Nifty Outlook

"Nifty bears were active around the 18,200 level, and the index remained under pressure throughout the day. The index is stuck in a broad range between 17,900 and 18,200, and a break on either side will lead to trending moves," said Rupak De, Senior Technical Analyst at LKP Securities.

Nifty Bank Outlook

"Nifty Bank failed to surpass the hurdle of 43,000. The index's immediate downside support is visible at 42,500, which if breached will result in additional selling pressure. The index remains in the range-bound territory between 42,500 and 43,000, and a break on either side will lead to trending moves," said Kunal Shah, Senior Technical Analyst at LKP Securities.

Nifty, Nifty Bank Call-Put Open Interest (OI)

"On the call side, the highest OI is witnessed at 18,300 followed by 18,400 strike prices while on the put side, the highest OI was at 18,000 strike, followed by 17,900. On the other hand, Nifty Bank has support at 42,200 levels while resistance is placed at 43,100. Traders are bracing up for more volatility as monthly expiry draws near. Long-term investors may, with calculated risk, grow their exposure to ETFs in addition to stocks," said Om Mehra, Equity Research Analyst at Choice Broking.

Nifty Bank Tech Charts

"Nifty Bank opened positive with gains of around 175 points but failed to hold cross 43,100 zones and drifted towards 42,615 levels. It was forming lower top - lower bottom from the initial tick of the day, followed by some recovery in last hour of the session. It formed a bearish candle on daily scale and closed with losses of around 90 points. Now it has to hold above the 42,700 zone for an up move towards 43,000 and 43,333. Support levels are placed at 42,500 then 42,222," said Chandan Taparia of Motilal Oswal Securities.

Futures Data

"Nifty future closed negative with losses of 0.16 per cent at 18,118 levels. Positive setup in Tata Motors, Maruti, Mphasis, Can Fin Homes, India Mart, Bajaj Auto, Petronet, Apollo Tyre, Cholafin, Hcltech, Britannia, HDFC Bank, HDFC, Persistent and Eicher Motors while weakness in Syngene, RBL Bank, Sun TV, Balram Chini, PI Ind, SBI Card, Concor, Axis Bank, India Cement, HDFC AMC, Colpal, JK Cement, Dr Reddy, Ramco Cement, ICICI Lombard General Insurance, Kotak Mahindra Bank and Grasim," Taparia said.

European Stocks

European stock indices such as the German DAX, Euro Stoxx 50 and Spain's IBEX 35 were seen trading lower. However, France's CAC rose today. Further, US stock futures indicated a gap-down start for Wall Street.

Most Active Stocks

Yes Bank, Vodafone Idea, South Indian Bank, Nykaa, PNB, Zomato, Infibeam Avenues, Suzlon, IRFC and Tata Motors were the most active stocks on NSE, in terms of volume.

Oil Prices

Oil prices were steady today to trade above the $88 a barrel mark. Higher oil prices hurt oil-importing countries like India, where crude constitutes the bulk of the country's import bill.

52-Week High/Low

119 stocks touched their respective 52-week high today on BSE, while 75 hit their one-year lows. BSE 500 stocks such as 360 One Wam and Llyods Metals and Energy hit their one-year high levels today, while Alok Industries, Galaxy Surfactants and Gland Pharma were among those which touched their 52-week lows.

Market Breadth

Out of 3,650 stocks, 1,482 stocks advanced while 2,043 stocks declined. 125 stocks remained unchanged today.