The Indian stock market benchmark indices, Sensex and Nifty 50, are likely to open lower on Monday, despite upbeat global market cues.
The trends on Gift Nifty also indicate a weak start for the Indian benchmark index. The Gift Nifty was trading around 24,962 level, a discount of nearly 44 points from the Nifty futures’ previous close.
On Friday, the domestic equity market ended higher, with the benchmark Nifty 50 closing near 24,900 level.
The Sensex gained 223.86 points, or 0.28%, to close at 81,207.17, while the Nifty 50 settled 57.95 points, or 0.23%, higher at 24,894.25.
Here’s what to expect from Sensex, Nifty 50, and Bank Nifty today:
Sensex Prediction
Sensex formed a promising reversal pattern on daily charts. For the week, the index rose 0.97% and formed a small bullish candle on weekly charts, which is largely positive.
“We believe that 80,800 – 80,200 will act as key support zones in the near future. Above this range, the pullback formation is likely to continue on the higher side, potentially moving up to the 20-day SMA (Simple Moving Average) or 81,400. Further upside may also continue, which could lift Sensex up to 81,900,” said Amol Athawale, VP-Technical Research, Kotak Securities.
On the flip side, he believes below 80,200, sentiment could turn negative, and advises traders to prefer exiting long positions if Sensex falls below this level.
Mayank Jain, Market Analyst, Share.Market (PhonePe Wealth) said that the immediate resistance for Sensex is at 81,500 – 81,700, and a convincing move above this zone could propel the index higher.
“On the downside, support for Sensex lies at 80,700 – 80,800. A break below this zone could test the next support level at 80,500,” Jain said.
Nifty 50 Prediction
Nifty 50 index formed a bull candle with a higher high and higher low on the daily chart, signaling extension of the pullback for the second session in a row. For the week, the Nifty 50 index gained 0.97%, forming a bull candle with a small lower shadow on the weekly chart, signaling buying demand from near the critical support zone around 24,400 – 26,600.
“A long bull candle was formed on the daily chart at the lows, which indicates a buy on dips opportunity in the market. This market action also confirms the formation of short-term bottom reversal around Tuesday’s low of 24,600 levels,” said Nagaraj Shetti, Senior Technical Research Analyst at HDFC Securities.
According to him, the underlying short-term trend of Nifty 50 is positive, and the next upside target to be watched is around 25,200 levels by this week. Immediate support is placed at 24,750.
Puneet Singhania, Director at Master Trust Group, noted that the Nifty 50 index successfully reclaimed its 50-day EMA, indicating stabilization and renewed buying interest.
“In the near term, 24,500 – 24,600 is a strong support zone; as long as these levels remain intact, the upside momentum is likely to continue. On the resistance front, 25,000 – 25,050 acts as a key psychological barrier, and a sustained move above this level could trigger further buying, potentially pushing the index towards 25,250,” said Singhania.
He also recommends a buy-on-dips approach for this week.
Nilesh Jain, Head – Technical and Derivatives Research Analyst (Equity Research), Centrum Broking Ltd. said that a gradual move towards 25,200 seems probable, and a decisive breakout beyond this level could open the path for an extended rally towards 25,500.
“The RSI has bounced back from oversold levels, pointing to a revival in short-term momentum. With key technical indicators turning supportive, the uptrend is likely to continue. As long as Nifty 50 holds above 24,600, a buy-on-dips strategy remains favorable. Additionally, India VIX posted a sharp 10% drop this week to close below 10.50, signaling lower volatility and further boosting bullish sentiment,” said Jain.
Mayank Jain said that the immediate resistance for Nifty 50 is at 25,050 – 25,000, and a convincing move above this zone could propel the index higher.
“On the downside, support lies at 24,750 – 24,700. A break below this zone could test the next support level at 24,600,” Jain said.
Bank Nifty Prediction
Bank Nifty index rallied 241.30 points, or 0.44%, to close at 55,589.25 on Friday, forming a bullish candle, indicating strength. For the week, the index surged 2.21%, and formed a large bullish candle on the weekly chart, reflecting sustained buying interest and positive sentiment across the sector.
“From a relative strength perspective, the Bank Nifty to Nifty ratio chart has hit a 30-session high, signalling clear and consistent outperformance of banking stocks over the frontline indices. Technically, the Bank Nifty index has reclaimed its key moving averages, reinforcing the bullish undertone. Moreover, the daily RSI is on the verge of crossing the 60 level, and remains in a rising trajectory – a sign of strengthening momentum,” said Sudeep Shah, Head – Technical and Derivatives Research at SBI Securities.
Going ahead, considering the current chart structure, he noted that the Bank Nifty index is likely to continue its northward journey and test the level of 56,200, followed by 57,000 in the short term. While, on the downside, the 20-day EMA zone of 55,000 – 54,900 will act as important support for the index.
Hrishikesh Yedve, AVP Technical and Derivative Research, Asit C. Mehta Investment Interrmediates Ltd. highlighted that the trendline resistance is currently placed near 55,700, which will act as the immediate hurdle for the Bank Nifty index, followed by 56,000.
“On the downside, key support is placed near 54,910, where the 100-DEMA is positioned. While the short-term trend is improving, traders are advised to wait for a decisive breakout above 55,700 before initiating fresh long positions in Bank Nifty,” said Yedve.