The final day of FY23 is likely to open on a flat-to-positive note on Friday, thanks to mixed global cues. US stocks maintained their winning streaks in the last few days.

Craig Erlam, Senior Market Analyst, UK & EMEA, OANDA said, “Stock markets are in the green once more on Thursday, with confidence slowly returning as we near the end of the second week without serious drama.”

According to analysts, the lack of any big negative news and calm in the global banking system have turned sentiment positive for domestic markets too. Besides, short-covering and value buying at lower levels will keep the market buoyant in the short term, they added.

SGX Nifty at 17,250 indicates a gap-up opening of about 40 points for Nifty, as Nifty April futures closed at 17,213.

Shrikant Chouhan, Head of Equity Research (Retail), Kotak Securities Ltd said, “Although there is no major change in global market sentiment, foreign investors turning net buyers of domestic equities in recent sessions has helped improve the overall mood.”

Besides turning net buyers in the cash segment, foreign portfolio investors have also indulged in short-covering in the futures segment.

FIIs long-short ratio has seen some recovery from 8-9 to 15-18 per cent, which indicates some short covering move from global market participants, said Chandan Taparia, Vice President-Equity Derivatives & Technicals, Broking & Distribution, Motilal Oswal Financial Services.

According to him, since it’s the beginning of the new series, options data is scattered at various far strikes in the monthly series.

“On the Option front, weekly Maximum Call OI is at 17,000 then 17,500 strike while Maximum Put OI is at 17,000 then 16,800 strike. Minor Call writing is seen at 17,400 then 17,500 strikes while Put writing is seen at 17,000 then 16,900 strikes,” he said and added, Option data suggests a broader trading range in between 16,600 to 17,500 zones while an immediate trading range in between 16,800 to 17,300 zones.

“We have seen long built-up in capital goods, cement, gold finance, and select FMCG stocks while shorts were added in metal and select midcaps,” said Taparia.