Factors affecting the trend in nifty futures

Nifty futures are highly volatile market and there are various factors which affect nifty futures directly and indirectly. Mostly fundamental factors are more responsible than technical factors.

The technical factors affecting nifty futures are as follows:

1.       Food inflation has been the challenge for central government. When the food inflation goes high, the key interest rates also get high. The increasing Interest rates are responsible for the diminishing growth of rate sensitive sectors such as automobile sector, banking sector and realty sector.  

2.       RBI credit policy is a major fundamental factor affecting trend of nifty futures. Nifty futures generally crashes when the interest rates goes high.

3.       IIP is the index of industrial production, when it goes below the expectation or lowers than previous release nifty futures also goes down. On the other hand if IIP lies on expectation then nifty futures hike.

4.       Quarterly and annual results show performance of a company. Annual results are majorly affected nifty futures. Good results lead the nifty futures to move higher whereas if results go below the expectation then nifty futures also go low.

5.       Government policies can be very good support for sectors. The growth focused policies are the result of the capital flow into the economy.

All these factors directly affect the nifty futures so traders must watch these events and analyse before setting positions on nifty futures. Apart from these, there are also various fundamental and technical factors affect nifty futures. 

Money Classic Investment Advisers is the leading company consider all the factors which directly and indirectly affect nifty futures. We also provide recommendations on nifty futures so that traders can make desire return.