Trade setup for June 23: Can NIFTY50 cross 24,200 on expiry day? Check details

The Indian benchmark indices are expected to open in green, shrugging off the mixed global market cues. GIFT NIFTY futures traded 23 points higher, indicating a positive start for NIFTY50 on Tuesday. Steady crude oil prices and eased geopolitical tensions improved the sentiment for Indian markets.

Brent crude oil prices steadied near $ 78 per barrel on Tuesday morning after the US granted Iran a 60-day license to sell crude oil in global markets. Crude oil prices have fallen nearly 21% this month as the Middle East geopolitical tensions eased significantly.

The US markets started the week on a mixed note, with the Dow Jones alone closing in green with 0.29% gains. Meanwhile, the S&P500 and the NASDAQ fell 0.4% and 1.3% amid the selloff in tech stocks. Shares of SpaceX plunged 16% on Monday, extending the losing streak for the third session.

The Asian markets followed the weak sentiments of overnight losses in the US tech stocks as Japanese and Korean markets opened red on Monday. Japan’s Nikkei fell over 500 points or 0.7%, Korea's KOSPI plunged over 3.3%, and Hong Kong’s Hang Seng traded lower with 0.1% losses.

NIFTY50

The NIFTY50 formed a doji candlestick on Monday, erasing Friday’s retreat and signalling a temporary standoff between bulls and bears. Technically, the index is on the cusp of a bullish crossover, with the 20-day EMA poised to cross the 50-day EMA from below. A decisive close above the previous swing high hurdle of 24,168–24,191 would confirm fresh follow-through momentum. On the downside, the 50-day EMA near 23,827 continues to serve as the pivotal floor for the index.

NIFTY50 open interest analysis

The open interest data for today’s expiry suggests a narrow range of trade between 24,000 and 24,200. The 24,200 calls hold the highest open interest, indicating a near-term strong resistance. On the flipside, 24,000 puts hold the highest open interest with 1.3 crore contracts, indicating a near-term support for the index.