Nifty Seen Opening Above 16,500 As Global Markets Surge On New Sanctions On Russia

The Indian equity benchmarks are set to stage a gap up opening on Friday as indicated by Nifty Futures on Singapore Exchange amid strong rebound in global markets. The Nifty Futures on Singapore Exchange also known as SGX Nifty Futures rose 1.83 per cent or 298 points to 16,534. Asian stocks staged a strong bounce back after President Joe Biden hit back Thursday against Russia’s invasion of Ukraine, unleashing robust new sanctions, ordering the deployment of thousands of additional troops to NATO ally Germany and declaring that America would stand up to Russia’s Vladimir Putin.

Asian shares rose Friday after U.S. stocks recovered toward the end of a wild trading day, as the world, including President Joe Biden, slapped sanctions against Russia for its invasion of Ukraine.

Japan’s benchmark Nikkei 225 surged 1.4 per cent in morning trading to 26,343.02. Australia’s S&P/ASX 200 gained 0.5 per cent to 7,022.30. South Korea’s Kospi jumped 1.2 per cent to 2,681.19. Hong Kong’s Hang Seng added nearly 0.2 per cent to 22,941.59, while the Shanghai Composite rose 0.8 per cent to 3,456.39.

Japan announced additional sanctions on Russia, including freezing the assets of Russian groups, banks and individuals and suspending exports of semiconductors and other sensitive goods to military-linked organizations in Russia.

Back home, foreign institutional investors sold shares worth Rs 6,448 crore on Thursday while  domestic institutional investors bought shares worth Rs 7,667 crore.

"Nifty is expected to open gap up and likely to witness sideways move during the day. Nifty has broken all the important support levels. A small bounce back is expected after the huge sell off. On technical grounds, Nifty has an immediate resistance at 16640. If nifty closes above that, further upside can be expected towards 16880-17000 mark. On the flip side 16350-16200 will act as strong support levels. It’s a stock specific market trade calls with strict stoploss," brokerage firm Nirmal Bang said in a note.