Trade Setup for June 18: Top 15 things to know before the opening bell

The Indian stock market has been on an uptrend for the past four sessions, with the Nifty 50 index closing 0.4 percent higher on June 17. This upward movement has been sustained above the 50-day Exponential Moving Average (EMA) since Monday, indicating a strong bullish trend. The market is now awaiting the outcome of the US Federal Reserve meeting, which is expected to have a significant impact on the global economy and subsequently on the Indian stock market. The Nifty 50 index has been facing resistance at the 24,100 level, and a sustained move above this level is essential for the bulls to take control and push the index towards the 24,500 hurdle.
The 24,500 level is a crucial hurdle for the Nifty 50, as it is near the 200-day Exponential Moving Average (DEMA), a key indicator of the long-term trend. A move above this level could indicate a strong bullish trend, while a failure to sustain above 24,100 could lead to a correction. The support for the Nifty 50 is placed at the 23,900-23,800 zone, which is a crucial level that the bulls need to defend in order to maintain the uptrend.
The US Federal Reserve meeting outcome is expected to have a significant impact on the global economy, and subsequently on the Indian stock market. The meeting is expected to provide clarity on the future interest rate trajectory, which could influence the flow of foreign funds into the Indian market. A dovish stance by the Fed could lead to an increase in foreign fund inflows, which could support the Indian stock market, while a hawkish stance could lead to a correction.
The Indian stock market is also expected to be influenced by domestic factors, including the ongoing monsoon season and the upcoming earnings season. The monsoon season is crucial for the Indian economy, as it has a significant impact on the agricultural sector, which is a key driver of the country's GDP. The earnings season is also expected to be a key driver of the market, as it will provide clarity on the financial performance of Indian companies.
The market is expected to be volatile in the near term, given the various factors that are at play. The bulls need to sustain the Nifty 50 above 24,100 in order to take control and push the index towards the 24,500 hurdle. The bears, on the other hand, will be looking to capitalize on any weakness and push the index below the 23,900-23,800 support zone.
In conclusion, the Indian stock market is poised for a crucial day ahead of the US Federal Reserve meeting outcome. The Nifty 50 index is eyeing the 24,500 hurdle, and a sustained move above 24,100 is essential for the bulls to take control. The market is expected to be volatile in the near term, given the various factors that are at play, and investors need to be cautious and take a long-term view in order to navigate the market successfully.