top of page

How to Predict the Market’s Opening 🔮

Market direction presents an opportunity. If the markets are expected to go up, the prices of individual stocks are also likely to go up.


Traders with a shorter time horizon can use the data to decide whether to purchase or sell, or to even get in the trading session better prepared to face what’s coming.


Predicting the markets isn't as difficult as you’d think. If you look at just these 3 things, you should be able to improve your forecasting game.


1. The SGX Nifty 🔍

The SGX Nifty is a stock index futures contract traded on the Singapore Exchange based on the Nifty 50 Index. It’s the same thing as Nifty 50 futures, but just on a different exchange.


The SGX Nifty Futures trade for 16 hours from 6.30 AM to 11.30 PM (IST) while Nifty trades for 6.5 hours on NSE from 9:00 AM to 3:30 PM (IST).


But since the Singapore markets start early (because of the time difference), price discovery on the Nifty 50 starts earlier in Singapore, and you can take advantage of that.


This makes it possible to easily predict the opening of the actual Nifty and the Indian markets, by simply observing what’s happening on SGX Nifty.


Foreign investors and speculators often set the pace for the Indian markets by following the example of the SGX. Since the SGX offers after-market trades around the clock, investors take positions 24 hours a day.


2. Global Markets Take the Lead 🌎

The stock market in India is fairly sensitive to developments throughout the world. Data from the European and American markets can help Indian investors anticipate how their markets will react when they open.


European and American exchanges close substantially later (at 9 PM and 1:30 AM IST) than their Indian counterparts due to the timezone difference.


This means you can get a sense of how the market is reacting to news that hits after it has already happened, such as a rate hike or a new economic report. Indicators can also be found in Indian stocks that trade on these international markets.


Since global markets are becoming increasingly intertwined, investors can anticipate the day's opening performance of the Nifty and Sensex by checking out how other global indices like the Hang Seng and Nikkei have opened.


3. Look Ahead 👓

Having a firm grasp of recent events, especially those that occur after the market closes, is a huge advantage. This implies you should be wary of any news pertaining to the market after 3:30 PM when the exchanges usually close.


Hypothetically, the Reserve Bank of India might declare a less aggressive rate increase than was anticipated following a policy meeting. Knowing this information can make predicting the next day's market opening higher rather simple (as usually lower interest rates mean higher valuations for stocks).


A helpful list of events to look out for are:

  • Annual General Meetings

  • Corporate earnings announcements

  • Budget by the Ministry of Finance

  • Change in interest rates (Repo, Reverse Repo)

  • Key economic data releases

    • Inflation (CPI, WPI)

    • Index of Industrial Production (IIP)

    • Purchasing Managers Index (PMI)

In Summation

Accurately predicting the stock market’s opening moves can be a useful tool. If your projection is accurate, you have an opportunity to profit.


It can also help short-term traders build the right mindset and go in prepared, then taking the time to learn and adjust while the markets are open.


Ideally, you would utilise these indications to anticipate market behaviour and then invest to capitalise on that prediction. Of course, the first step is to correctly gauge the market direction.


As with all investment strategies, you should conduct a thorough analysis while understanding your strategy and its implications before you place a bet on the direction of the open.

Comments


Rupeeting

Powered by Paterson Securities Group

  • Rupeeting Youtube
  • Rupeeting X
  • Whatsapp

Email: sawaal@rupeeting.com

Support: +91 97697 70046

22/A Shah Industrial Estate

Off Veera Desai Road

Andheri West

Mumbai 400053

Rupeeting Logo.png

Alphaware Advisory Services Private Limited (Brand Name - Rupeeting) makes no warranties or representations, expressed or implied, on products and services offered through the platform. It accepts no liability for any damages or losses, however, caused in connection with the use of, or on the reliance of its advisory or related services. Past performance is not indicative of future returns. Please consider your investment requirements, risk tolerance, goals, time horizon, risk and reward appetite, and the cost associated with the investment before choosing a fund, or designing a portfolio that suits your needs. Performance and returns of any investment portfolio can neither be predicted nor guaranteed. Investments in mutual funds, stocks, ETFs and any other investment products that you see Rupeeting's views being expressed on are subject to market risks. Please read all scheme related documents carefully. The content and data available in the material prepared by the company and on the website of the company, including but not limited to index value, return numbers and rationale are for information and illustration purposes only. Charts and performance numbers do not include the impact of transaction fee and other related costs. Past performance does not guarantee future returns and performances of the portfolios are subject to market risk. The information is only for consumption by the client and such material should not be redistributed. Data used for calculation of historical returns and other information is provided by exchange approved third party vendors and has neither been audited nor validated by the Company. Detailed return calculation methodology is available here. Detailed volatility calculation methodology is available here. Registration granted by SEBI, membership of BASL and certification from NISM in no way guarantee performance of the intermediary or provide any assurance of returns to investors. Alphaware Advisory Services Private Limited [SEBI RIA Registration No: INA000015747] [Validity of registration: February 08, 2021-Perpetual] [BASL ID: 1610] [Address: 22/A Shah Industrial Estate, Off Veera Desai Road, Andheri West, Mumbai 400053] [Principal Officer details: Mr. Sagar Lele, Email id: sagar.lele@rupeeting.com, Contact No. +91-9769770046] [Compliance Officer details: Mr. Sagar Lele, Email id: sagar.lele@rupeeting.com, Contact No. +91-9769770046] [Grievance Officer details: Mr. Sagar Lele, Email id: sagar.lele@rupeeting.com, Contact No. +91-9769770046] [Platform Partner: smallcase] [CIN – U74999MH2019PTC320573] [GST No: 27AARCA8847R1ZF] [SEBI regional address: SEBI Bhavan BKC, Plot No. C4-A, 'G' Block, Bandra-Kurla Complex, Bandra (East), Mumbai, Maharashtra, India, Pin Code – 400051.]

© 2025 by Rupeeting

bottom of page