Pre-Market Setup (June 11): GIFT Nifty trades 30 pts higher; markets likely to open in green

Dalal Street looks set for a positive start on Wednesday, June 11, as GIFT Nifty futures edged up by 30 points to 25,174 in early trade, hinting at sustained buying momentum despite recent consolidation. Analysts say the bias remains positive as long as Nifty trades above 24,850, with the possibility of a fresh rally towards 25,350 in the near term.

Technical Analysis 

After a four-day winning streak, Indian equities paused on Tuesday but held their ground. Market watchers expect range-bound movement with a bullish undertone. The key technical level to watch remains 24,850 a break below could invite profit-booking, but if the index sustains above it, a move towards 25,350 and beyond is on the cards.

US Markets 

Overnight, US markets closed in the green. The S&P 500 climbed 0.55 per cent, Nasdaq added 0.63 per cent, and the Dow gained 0.25 per cent. A rebound in Tesla and optimism around US-China trade discussions lifted sentiment.

Asia follows Wall Street lead

Asian equities mirrored the overnight optimism. Futures indicated a firm tone — Hang Seng futures rose 0.2 per cent, S&P/ASX 200 gained 0.3 per cent, and Nikkei 225 added 0.4 per cent. The uptrend suggests global markets are optimistic about easing trade tensions and stable macro cues.

India VIX dips below 14

India VIX cooled off by nearly 5 per cent to 13.98, suggesting lower volatility and improving risk appetite. The fall in VIX aligns with the view that markets are likely to remain steady unless triggered by a global shock or major domestic event.

FIIs, DIIs remain net buyers

Foreign institutional investors bought shares worth Rs 2,302 crore on Tuesday, while domestic institutions added Rs 1,113 crore — reinforcing strength in broader participation. In the futures space, FII short positions eased to Rs 93,024 crore, hinting at covering or fresh long buildup.

Rupee appreciates; dollar steady

The rupee strengthened by 9 paise to end at 85.57 against the US dollar, supported by robust foreign inflows and a stable dollar index. Meanwhile, the greenback held steady as investors digested progress on a possible US-China trade agreement.

Commodities 

Gold prices edged higher as traders looked forward to US inflation data. Crude oil, however, declined amid weak Chinese demand and expected OPEC+ supply increases.

F&O ban list: 6 stocks under pressure

Manappuram, ABFRL, Chambal Fertilisers, IREDA, RBL Bank, and Titagarh remain in the F&O ban list today, having breached 95 per cent of the market-wide position limit.

Outlook: With FIIs supporting the rally, volatility easing, and technicals favouring long positions, markets are expected to open higher. However, traders should watch 24,850 closely for directional cues.