Stock market on July 1: Here are 5 things to know before opening bell

The Indian equity benchmarks are set to open on a positive note as indicated by NIFTY futures traded at Gift City in Ahmedabad. NIFTY futures at Gift City also known as Gift NIFTY futures rose 0.12% or 32 points to 25,633 amid mixed cues from Asian markets. In yesterday's session, the SENSEX and NIFTY50 indices snapped their four-day winning streak on account of profit booking.

Asian market check

Most of the Asian markets were trading higher as China's Shanghai Composite rose 0.12%, South Korea's KOSPI index advanced 1.6%, Australia's S&P/ASX 200 index rose 0.18% while Japan's Nikkei fell 1.05%.

US markets hit record highs

US markets extended their record breaking run for second straight session on Monday on hopes US trade negotiations with key partners would continue to progress.

FII/DII activity

Foreign institutional investors (FIIs) sold shares worth ₹831 crore on Monday while domestic institutional investors bought shares worth ₹3,497 crore in cash segment.

In the derivatives segment, FIIs sold index futures worth ₹903 crore and sold index options worth ₹10,904 crore.

In the month of June FIIs bought shares worth ₹7,489 crore while DIIs purchased shares worth ₹72,674 crore.

NIFTY50 trade setup

On technical charts, NIFTY50 traded at the upper Bollinger band after a strong rally and breaking out of the consolidation. The outlook remains bullish with some cautiousness on consolidation in the short term. Experts see 25,200 as a crucial support for the index, which was also the previous resistance.

On the options data front, the 26,000 calls witnessed heavy open interest addition on Monday, indicating a strong resistance at these levels. Similarly, 25,500 puts hold the highest open interest on the downside, indicating strong support for the current expiry of the NIFTY50.

India-US trade deal update

India and US are close to finalising a bilateral trade agreement, with both sides working against a fast-approaching July 9 deadline, confirmed the White House on Tuesday.

Notably, the announcement comes amid a flurry of diplomatic engagement, including External Affairs Minister S. Jaishankar’s visit to the US for the QUAD Foreign Ministers' Meeting.

White House Press Secretary Karoline Leavitt said, “The President said that last week, and it remains true. I just spoke to our Secretary of Commerce... they are finalising these agreements, and you'll hear from the President and his trade team very soon when it comes to India.”