Nifty 50, Sensex today: What to expect from Indian stock market in trade on July 25

Indian stock market benchmark indices, Sensex and Nifty 50, are likely to open lower on Thursday tracking losses in global peers.

The trends on Gift Nifty also indicate a gap-down start for the Indian benchmark index. The Gift Nifty was trading around 24,290 level, a discount of nearly 230 points from the Nifty futures’ previous close.

On Wednesday, the domestic equity benchmark indices ended lower for the fourth consecutive session.

The Sensex fell 280.16 points to close at 80,148.88, while the Nifty 50 settled 65.55 points, or 0.27%, lower at 24,413.50.

Nifty 50 formed a small negative candle on the daily chart with a minor upper and lower shadow, which reflects volatility in the market.

“Technically, this pattern signals a formation of a high wave type candle pattern after a reasonable decline from the new highs. Immediate support of 10-day EMA (Exponential Moving Average) has been broken on the downside and Nifty is currently placed near another support of 20-day EMA around 24,270 levels. These moving averages have been upheld in the last 5-6 weeks and the market’s inability to sustain above these supports could eventually open sharp weakness ahead,” said Nagaraj Shetti, Senior Technical Research Analyst at HDFC Securities.

However, the formation of bullish hammer and the high wave back-to-back in two sessions could signal temporary halt in sharp downside momentum. A sustainable move above 24,580 levels could only confirm a near term bottom reversal pattern, Shetti added.

According to him, the short term trend of Nifty continues to be weak and further weakness from here could find lower support around 24,270 - 24,100, while one may expect emergence of buying from the lows.

Here’s what to expect from Nifty 50 and Bank Nifty today:

Nifty OI Data

Analysing, the Nifty OI (Open Interest) Data, on the call side, the highest OI is observed at 24,600 followed by 24,700 strike prices while on the put side, the highest OI is at 24,300 strike price, said Deven Mehata, Research Analyst at Choice Broking.

Nifty 50 Prediction

Nifty 50 index continued weakness amidst a range movement on July 24 and closed the day lower by 65 points.

“The Nifty continues to remain volatile with a mild negative bias. On the daily chart, a small-bodied red candle has formed. However, the short-term trend remains positive as it closed above the 21-day exponential moving average. The Relative Strength Index (RSI) is showing a bearish crossover and is declining. Weakness might increase in the market in the short term if the Nifty falls below 24,350,” said Rupak De, Senior Technical Analyst, LKP Securities.

On the higher end, according to him, resistance is seen at 24,600 and a decisive move above 24,600 could trigger a meaningful rally in the market.

VLA Ambala, Co-Founder of Stock Market Today noted that Nifty 50 was near its 20-day EMA, with an immediate support of 24,380. If this price level continues into the next session, prices may remain above 24,500, otherwise, sales pressure may prevail for the next 2-3 days, she said.

According to Ambala, Nifty is likely to find support between 24,350 and 24,120 and meet resistance between 24,530 and 24,600 in the next session.

Bank Nifty Prediction

Bank Nifty index declined 461.30 points, or 0.89%, to close at 51,317.00 on Wednesday.

“The Bank Nifty continued to fall, remaining below the short-term consolidation breakdown. The sentiment might remain weak as it closed below its support level of 51,700 and its 21-day exponential moving average. A sell-on-rise approach might favor traders until the index closes above 52,000,” De said.

The support is placed at 50,900, where the 50-day EMA lies. On the other hand, resistance is seen at 51,550 and 52,000, he added.

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.