GIFT Nifty signals weak start; Nikkei slides

Chanakya Morning Market View

🕗 Last Update: 27 February 2026, 7.30 AM

How Will Markets Open Today?

GIFT Nifty signals weak start; Nikkei slides, tech stocks under pressure; crude and gold steady — 5 key cues to track

Indian equity markets are likely to open on a cautious note today, with early indicators pointing towards selling pressure at the start.

GIFT Nifty was trading near 25,562, down about 102 points (0.4%), suggesting benchmark indices may begin the session in negative territory.

Investors will closely track global market movements, currency trends, and commodity prices to gauge the day’s sentiment.

Key Global & Domestic Cues – February 27, 2025

1) Asian Markets Mixed; Japan Weak

Markets across Asia-Pacific opened with a mixed bias:

Japan’s Nikkei 225 slipped nearly 0.6%
Broader Topix traded in a narrow band
South Korea’s Kospi declined 1.1%
Kosdaq eased 0.35%
Australia’s S&P/ASX 200 remained largely flat

Weakness in Japan and Korea may weigh on sentiment at open.

2) Tech Stocks Under Pressure After Nvidia Selloff

Asian technology counters mirrored overnight weakness in US chip stocks:

SK Hynix fell over 2%
Samsung Electronics slipped 0.69%
SoftBank Group dropped more than 3%

The pressure follows a sharp 5% fall in Nvidia shares, despite stronger-than-expected quarterly results — indicating profit booking in AI-linked plays.

3) Wall Street Ends Mixed

US markets closed on a mixed note on February 26:

Broader index fell 0.54% to 6,908.86
Nasdaq declined 1.18% to 22,878.38
Dow Jones Industrial Average edged up 0.03% to 49,499.20

Tech-led selling dominated sentiment.

4) Dollar Steady; Rupee Weakens Slightly

The US Dollar Index (DXY) was marginally lower at 97.77, down 0.01%.

The Indian rupee depreciated slightly to 90.91 per dollar, reflecting mild currency pressure.

5) Crude & Gold in Focus

WTI crude edged up to $65.46 per barrel
Brent crude hovered near $70.88 per barrel

Oil prices remain stable but will be monitored for inflation impact.

In precious metals:

International gold traded at $5,192 per ounce
On MCX, April 2026 gold futures were around Rs 1,59,728 per 10 grams

Gold continues to stay firm amid global volatility.

Institutional Activity

FIIs net sold equities worth Rs 3,465.99 crore
DIIs net bought equities worth Rs 5,032 crore

Domestic buying continues to absorb foreign selling pressure.

Market Outlook

With weak global tech cues, mixed Asian markets, and sustained FII selling, Indian equities may see a cautious to weak start. However, strong domestic institutional inflows could provide intraday support.

Volatility is expected to remain elevated.

Chanakya Technical Trend Glimpse (Nifty Outlook)

Nifty closed at 1012.95, trading comfortably above its 20D, 50D and 200D averages, indicating underlying structural strength despite recent minor profit booking.

Short-term trend remains bullish, while the medium-term setup is still cautious; however, price sustaining above the 1000–990 support zone keeps buyers in control.

MACD remains in positive territory with a rising histogram, and ADX at 29 confirms strengthening trend momentum with +DI well above –DI.

RSI at 57 signals healthy momentum without entering overbought territory.

Stochastics (%K near 20) suggests near-term cooling off, indicating possible brief consolidation before the next move.

Immediate resistance is seen near 1045–1065 (PSAR & upper Bollinger band), while strong support lies around 990–975.

Overall bias remains positive on dips, with trend favouring gradual upside continuation.

Quicklinks

Nifty Technical Analysis: Latest Support, Resistance & Trading Strategy

What is the best indicator to trade Nifty?

A combination of RSI, MACD, and support-resistance levels work best for Nifty. RSI shows momentum, while MACD helps confirm trend reversals or continuation.

How do I identify support and resistance for Nifty?

Support and resistance levels are derived from previous highs and lows, Fibonacci levels, and price-action zones. These help in setting entry and exit points.

Is it safe to trade Nifty during high volatility?

During high volatility, Nifty can offer strong intraday moves but carries higher risk. Use tighter stop-losses and smaller positions to manage risk effectively.

What is a good RSI level to buy Nifty?

An RSI between 40 and 60 often indicates a good zone to accumulate if other indicators support the trend. RSI above 70 could mean overbought, while below 30 is oversold

How do I use MACD in Nifty trading?

MACD helps identify trend strength. A bullish crossover (MACD line above signal line) suggests upward momentum, while a bearish crossover may indicate a possible decline.

Can I trade Nifty only based on technical analysis?

Yes, many traders use pure technical analysis for Nifty. However, combining it with macroeconomic news, global market trends, and FII/DII activity gives better accuracy.