The Indian stock market benchmark indices, Sensex and Nifty 50, are likely to open flat on Tuesday, tracking mixed global market cues.
The trends on Gift Nifty also indicate a mildly positive start for the Indian benchmark index. The Gift Nifty was trading around 24,707 level, a premium of nearly 22 points from the Nifty futures’ previous close.
On Monday, the equity market extended its losing streak to the seventh consecutive session and ended lower, with the benchmark Nifty 50 slipping below 24,700 level
The Sensex dropped 61.52 points, or 0.08%, to close at 80,364.94, while the Nifty 50 settled 19.80 points, or 0.08%, lower at 24,634.90.
Here’s what to expect from Sensex, Nifty 50, and Bank Nifty today:
Sensex Prediction
Sensex formed a bearish candle on daily charts, and it continues to show a lower top formation on intraday charts, which is largely negative.
“We are of the view that the short-term market outlook is weak, but since it is oversold, a strong possibility of a quick pullback rally cannot be ruled out. For day traders, 80,800 would act as an immediate resistance zone. If Sensex successfully clears this zone, it could bounce back up to 81,000 – 81,300. On the other side, below 80,300, the selling pressure is likely to accelerate. Below this level, Sensex could retest the levels of 80,000 – 79,800,” said Shrikant Chouhan, Head Equity Research, Kotak Securities.
Mayank Jain, Market Analyst, Share.Market (PhonePe Wealth) said that the market remained in a holding pattern as investors adopted a cautious stance ahead of the Reserve Bank of India’s (RBI) upcoming monetary policy announcement.
“Sensex is expected to trade cautiously. A move above the 80,880 mark could trigger minor gains, while a drop below the immediate support level of 80,320 may increase selling pressure. The market’s direction will largely depend on the RBI’s commentary and evolving global cues,” Jain said.
Nifty OI Data
In the derivatives segment, Nifty open interest (OI) data indicated the highest call writing at the 24,700 and 24,800 strike prices, while maximum put OI was seen at 24,600, suggesting strong resistance around 24,800.
Overall sentiment remains cautiously optimistic, and a decisive close above this level will be essential to sustain bullish momentum in the near term, said Amruta Shinde, Technical & Derivative Analyst at Choice Broking.
Nifty 50 Prediction
Nifty 50 formed a significant bearish candle with an upper shadow on the daily chart, indicating that bulls failed to sustain the earlier rebound.
“A reasonable negative candle was formed on the daily chart with upper shadow. Technically, this market action indicates an inability of bulls to sustain the bounce back and this also signals possibility of some more weakness in the coming sessions. Nifty 50 is currently nearing an important support zone of around 24,500 – 24,400 levels and this area could be reached in the next few sessions,” said Nagaraj Shetti, Senior Technical Research Analyst at HDFC Securities.
According to him, any sustainable move above the hurdle of 24,800 – 24,900 levels could confirm a near term bottom reversal pattern.
Nilesh Jain, Head – Technical and Derivatives Research Analyst (Equity Research), Centrum Broking noted that the Nifty 50 index index continues to trade below all key moving averages, and momentum indicators and oscillators have signalled a bearish crossover on the daily chart.
“With the monthly F&O expiry approaching, we anticipate continued volatility in the markets. While a pullback is possible, a decisive move above the 24,800 level is crucial to trigger a short-covering rally towards the 25,000 mark. On the downside, immediate support is seen at 24,600, followed by 24,500,” Jain said.
Mayank Jain said that the 24,800 – 24,850 zone stands as a critical resistance level for the Nifty 50, and if the index manages to break past this barrier, it could pave the way for a move towards the 24,950 – 25,000 range.
“However, on the downside, the 24,600 level is a crucial support to watch. A failure to hold this could see the index slide further towards 24,400. The RBI’s policy decision and international market trends will be the key triggers for the Nifty’s next move,” he added.
Bank Nifty Prediction
Bank Nifty index ended 71.65 points, or 0.13%, higher at 54,461.00 on Monday, forming a Doji candlestick pattern on the daily chart, reflecting indecision among market participants at current levels.
“This pattern typically suggests a potential pause or reversal in trend, especially when it appears after a directional move. Looking ahead, the zone of 54,100 – 54,000 is expected to act as a key support area, and any breach below this range could invite further downside. On the upside, the levels of 54,700 – 54,800 will serve as a crucial resistance zone, and a sustained move above this band may open the door for a stronger recovery,” said Sudeep Shah, Head – Technical and Derivatives Research at SBI Securities.
Hrishikesh Yedve, AVP Technical and Derivative Research, Asit C. Mehta Investment Interrmediates Ltd. highlighted that the low of the Doji candle is placed at 54,225, and if the Bank Nifty index manages to defend this level, a pullback move could be expected.
“However, a breach below 54,225 may trigger further downside towards the next major support at 53,790, where the 200-DEMA is positioned. On the upside, immediate resistance is placed near 54,900 at the 100-DEMA, followed by the 55,000 mark,” Yedve said.
Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.
