Indian Markets Takes A Breather, Nifty Opens 50 points Positive Today

The overall global markets look flat, and as global and Indian markets trade hand in hand, the Indian indices are expected to be flat or negative. While the Asian markets, the Hang Seng Index of Japan falls the most, the Shanghai Index of China looks slightly positive. However, the Indian markets and most sectors are looking very positive on the opening of the market.

The sell-off continued in the Indian markets for two straight sessions traders and investors were expecting flat or negative markets today. Nifty 50 gave a gap opening today and currently trading 50 points positive Energy, FMCG, and Public Sector Enterprises look the most positive in today's trading session.

The positive move in Indian markets is not expected to last much longer by analysts as the overall sentiments of the market are bearish after a sharp fall. Some fundamental reasons for the sell-off include the rupee trading near its record low against the US Dollar, RBI increasing interest rates quite frequently in the past few months because of the Inflation, and global markets looking negative.

As per the chart, the Nifty 50 is not in a very good position as the market has no major support near to go up, the price is coming down after making a double top pattern, and the break-out neckline has confirmed the high probability to continue the sell-off. However, on the bright side, the Indian market is in a very good upside momentum which can continue despite all the bearish signals.