Can Nifty, Sensex extend gains for four sessions amid tariff woes? Check key levels here

Wall Street fell overnight as Federal Reserve Chair Jerome Powell said that the Fed will not intervene to calm equity markets down.

The benchmark indices Nifty 50 and Sensex are poised to see a weak start on April 17, as indicated by GIFT Nifty.

The Nifty 50 index has shrugged off global tensions, and reclaimed major levels over the past few sessions, recording a scorching rally of 1,000 points over the past three sessions. However, at 7.30 am, the GIFT Nifty index is trading 100 points lower compared to the Wednesday close in Nifty futures.

Overnight, Wall Street fell as Fed Chair Jerome Powell said that the US Federal Reserve will not intervene to calm equity markets down. The Dow Jones fell 700 points, the S&P 500 and Nasdaq fell 2.2 percent and 3 percent respectively led by a sell-off in Nvidia and other chipmakers on reports of further curbs on Chinese exports.

The Nasdaq is now down 19 percent from its all-time high, pushing it back to the brink of a bear market after last week’s topsy turvy moves.

However, defying US markets’ sentiment, Asian indices traded in the green in early trading on Thursday morning. Japan’s benchmark Nikkei 225 started the day 0.59 percent higher, while the broader Topix index added 0.26 percent.

In South Korea, the Kospi index increased 0.41 percent at the open while the small-cap Kosdaq moved up 1.02 percent.

As a result, Dow Futures found optimism, heading up 130 points. The S&P 500 futures gained 20 points, while Nasdaq futures are up close to 90 points.

Experts suggested that the Nifty’s steady rise, peppered with occasional gap-ups, indicated that markets have largely brushed off global jitters tied to the ongoing tariff war, as the index confidently reclaimed ground above its six-session lows.

“The 23,500–23,700 zone has emerged as a crucial supply ceiling, and only a decisive breakout beyond this range could ignite renewed bullish fervour and trigger short-covering rallies.

“On the downside, holding above the 23,200–23,300 band will be key in cushioning against any profit-taking. A sustained breach below this support area may open the door for a retracement toward the 23,000 psychological level,” said Dhupesh Dhameja, derivatives research analyst, SAMCO Securities.

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