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Nifty on Wednesday ended 34 points higher to form a Doji candle on the daily chart, which indicates indecisiveness prevailing in the marketplace at the current juncture as it coincides with a critical resistance level of 61.8% retracement and a bearish gap.Going ahead, 22,500 level remains a significant resistance on the monthly expiry day, but a sustained trade above 22,500-22,550 could trigger further upward movement, potentially driven by contract adjustments. Conversely, immediate support levels are identified at 22,300-22,250, with a pivotal support zone around the bullish gap of 22,200-22,180, said Rajesh Bhosale, technical analyst, Angel One.Analysis of Nifty Put options indicates a concentration of Open Interest (OI) at 22,000 level, suggesting potential support for the ongoing expiry. On the Call side, significant OI concentrations are observed at the 22,500 and 22,700 levels, nearing all-time highs. Sustaining prices above these levels could propel the market towards the 22,800 strike prices, which might serve as resistance levels for the upcoming expiry.What should traders do? Here’s what analysts said:Tejas Shah, JM Financial & BlinkXNifty was unable to close above our mentioned resistance zone of 22,400-500 on an immediate basis and marginal profit booking was witnessed after almost testing the upper band of our mentioned resistance zone. So we need to wait and watch, till the high (22,477) or low (22,384) of Wednesday's daily candle is taken out for further direction on Nifty in Thursday’s trading session. Support for Nifty is now seen at 22,200 and 21,950-22,000 levels. On the higher side, immediate resistance for the index is at 22,500-mark and the next resistance is at 22,750-800 levels. Overall, till this higher high syndrome continues one should not fight the trend.Rupak De, LKP SecuritiesNifty remained sideways throughout the session before closing with a slight gain. Sentiment for the short term continues to remain positive as the index closes above the critical moving average. The positive crossover in the RSI also supports the positive momentum. On the higher end, immediate resistance is placed at 22,500. A decisive move above 22,500 might take the index towards 22,750-22,800 over the short term. Support is placed at 22,350-22,400.Jatin Gedia, SharekhanOn the daily charts, we can observe that Nifty has been trading around the 22,400 mark, which coincides with the 61.82% Fibonacci retracement level of the previous fall from 22,776 to 21,777 and also the lower end of the gap area formed on the 15th April. A brief consolidation is likely to continue considering the sharp run-up The hourly momentum indicator has a negative crossover, which also suggests some consolidation before it starts a new cycle on the upside. On the upside, we expect Nifty to target levels of 22,560 from short-term perspective.(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)

The government has extended the term of RBI Deputy Governor T Rabi Sankar for a period of one year, according to sources. The Appointments Committee of the Cabinet has approved the re-appointment of T Rabi Sankar, Deputy Governor Reserve Bank of India, for a period of one year with effect from May 3, 2024, they said. He was appointed as the RBI Deputy Governor in May, 2021 for a period of three years. He had joined the RBI in 1990 and worked in various positions at the central bank. He was Executive Director of the Reserve Bank before being elevated to the post of deputy governor. As an executive director, he was looking after the Department of Payment and Settlement Systems, the Department of Information Technology, Fintech and the Risk Monitoring Department of the RBI. He has served as an IMF Consultant (2005-11) on developing government bond markets and debt management. In addition to his professional career at the RBI, he is the Chairman, Indian Financial Technology and Allied Services (IFTAS); member of Board of Directors, ReBIT; and member of Governing Council, IDRBT. Sankar has done Master of Philosophy in Economics from the Jawaharlal Nehru University.

The Reserve Bank of India (RBI) has issued Master Direction to the Asset Reconstruction Companies. An Asset Reconstruction Company (ARC) is a financial institution that buys the Non Performing Assets (NPA) or bad assets from banks and financial institutions so that the latter can clean up their balance sheets."ARCs play a critical role in the resolution of stressed financial assets of banks and financial institutions, thereby enhancing the overall health of the financial system. To ensure prudent and efficient functioning of ARCs and to protect the interest of investors, Reserve Bank of India hereby issues the Master Direction - Reserve Bank of India (Asset Reconstruction companies) Directions, 2024" said a realese by the RBI.According to the directions, to commence the business of securitisation or asset reconstruction, an ARC is required to have a minimum net owned fund (NOF) of Rs 300 crore and thereafter, on an ongoing basis.Additionally, before commencing the business of securitisation or asset reconstruction, an ARC shall apply for registration and obtain a certificate of registration (CoR) from the RBIThe directions also state that no ARC shall invest in land or building, except for investment for its own use up to 10% of its owned funds.Furthermore, ARCs are prohibited from raising money by way of deposit. They are also mandated to maintain a capital adequacy ratio of a minimum of 15% of its total risk-weighted assets.Regarding leadership positions, the directions specify that no person shall continue as MD/ CEO or Whole-time Director (WTD) beyond the age of 70 years. Additionally, the tenure of MD/ CEO or WTD shall not exceed five years at a time, with a maximum tenure of fifteen years continuously.Moreover, ARCs are required to report to the Indian Banks Association (IBA) the details of chartered accountants, advocates, and valuers who have committed serious irregularities in the course of rendering their professional services for inclusion in the IBA database of third-party entities involved in fraud.These directions aim to streamline and regulate the functioning of Asset Reconstruction Companies in India, ensuring transparency, accountability, and integrity in the financial system.In the Union Budget 2021-22, Finance Minister Nirmala Sitharaman announced the setting up of Asset Reconstruction Companies in India to take care of Non-Performing Assets (NPAs) of stressed banks. ARCs in India has been set up by state-owned and private-sector banks. Also, there is no equity contribution from the government.ARCs help banks clean up their balance sheets by acquiring financial assets from banks and financial institutions through auctions or bilateral negotiations. They securitize and reconstruct the assets to bring liquidity into the system.

IT services company Tech Mahindra is expected to see another muted quarter (January-March) as an uncertain macro environment and cautious tech spending might weigh on the numbers.Net profit for the quarter ended March 2024 is likely to fall up to 40% year-on-year (YoY), according to an average estimate of four brokerages.Meanwhile, revenues, both in rupee and constant currency terms, are likely to fall. Analysts peg constant currency revenue growth at -1.4%, while the rupee revenue is likely to fall anywhere between 3-5% YoY.The overall revenue numbers would be a let down due to weakness across communications and enterprise segments.Even though deal wins are likely to be stable in the fourth quarter, they will still be below normal levels.Here's what to expect from Tech Mahindra's Q4Axis SecuritiesWe expect the company to report revenue growth of 0.7% on a QoQ basis. Its margins are likely to expand due to strong growth in volume and reshuffling of the portfolio. Watch out for deal TCVs and pipeline in the communication vertical, pricing scenario, attrition, outlook on growth/margins/DSO days, and commentary on the 5G rollout.NuvamaTechM to report -1.4% quarter-on-quarter decline in CC and -1.0% decline in USD - driven by weakness in the Telecom segment and absence of pass-through revenues. Margins to expand by 200 bps quarter-on-quarter to 7.3%, on the back of the absence of one-off cost. Adjusted margins to remain flat quarter-on-quarter. Deal wins are expected to be stable.Motilal OswalRevenue growth is expected to be muted at 0.7% QoQ CC due to weakness in both CME and Enterprise verticals. Deal wins are likely to be muted due to macro uncertainty.We expect a deal TCV to the tune of $500 million in the fourth quarter. Margins are likely to improve 140 bps quarter-on-quarter, as the impact of cost-control efforts should start becoming visible. Weak growth is likely to keep margins under pressure.The outlook on margin and growth in the CME vertical will be the key monitorables.Kotak Institutional EquitiesWe expect a 1.4% quarter-on-quarter decline in revenue due to weakness across communications and enterprise segments. 4QFY24 EBIT margin segment could improve by 200 bps due to the absence of provisions related to unprofitable contracts. Normalized EBIT margin improvement would be gradual in FY2025E.Deal wins will improve sequentially although they will still be below normalised levels. Weakness is due to weak macro and slow decision-making. We forecast net new TCV of $500-600 million.We expect quarterly financials to have limited sway on stock performance in the near term with focus on details of a turnaround strategy under the current CEO.(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)