Nifty 50, Sensex today: What to expect from Indian stock market in trade on November 21 after Maharashtra election 2024 | Stock Market News

The Indian stock market benchmark indices, Sensex and Nifty 50, are likely to open on cautious note Thursday following weakness in global markets.

The trends on Gift Nifty indicate a mildly positive start for the Indian benchmark index. The Gift Nifty was trading around 23,560 level, a premium of nearly 25 points from the Nifty futures’ previous close.

The Indian stock market was closed on Wednesday, November 20, due to Maharashtra Election 2024.

On Tuesday, the domestic equity benchmark indices snapped a seven-day losing streak and ended higher.

The Sensex gained 239.37 points, or 0.31%, to close at 77,578.38, while the Nifty 50 settled 64.70 points, or 0.28%, higher at 23,518.50.

Nifty 50 formed a small negative candle with long upper and minor lower shadow, indicating lack of strength in the market to sustain bounce.

“Technically, there have been merely any alterations to the price action on a closing basis, but the sell-off before the mid-week holiday reiterates a cautious stance in markets. The market seems volatile, and it is advised to avoid aggressive directional trade in the key indices,” said Osho Krishnan, Sr. Analyst, Technical & Derivatives of – Angel One.

He noted that simultaneously the technical setup portrays a bearish view, necessitating restraint from being influenced by transient pullbacks until there is evidence of sustained movement in domestic markets.

In the meantime, it is prudent to stay abreast with global developments, Krishnan said.

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

Nifty 50 Prediction

Nifty 50 gained 65 points on November 19 and formed a bearish Marubozu candlestick pattern, closing decisively below its 200-day moving average (DMA).

“The Nifty 50 remained volatile throughout the session due to a sudden spike in geopolitical tensions between Russia and Ukraine, causing the index to fall below its 200-DMA once again. On the technical front, the Nifty managed to hold above its recent low, indicating a potential bullish reversal as long as it does not breach the 23,350 level. Conversely, if the index sustains above the 23,500 level, it could move toward the 23,700–23,800 zone,” said Rupak De, Senior Technical Analyst, LKP Securities.

VLA Ambala, Co-Founder of Stock Market Today, advises market participants to approach the ‘sell on rise’ strategy from a trading perspective, while short-term investors to hedge their portfolios to reduce potential risk.

“On the technical charts, Nifty formed a ‘bullish belt hold’ candlestick pattern on the daily timeframe. This formation was supported by the 200-day EMA and RSI value of 36, indicating a potential bullish swing. However, more sell-offs may arise in the coming months,” Ambala said.

After analyzing the market movements, Ambala expects Nifty’s support level to be near 23,420 and 23,300 and resistance at 23,750 or 23,880.

Bank Nifty Prediction

Bank Nifty index rallied 262.70 points, or 0.52%, to close at 50,626.50 on Tuesday, forming a Doji-like candlestick pattern.

“Bank Nifty almost reached the 51,000 zone but could not sustain much longer, witnessing profit booking to end the session near 50,600 levels with bias turning into cautious mode. The index would have the crucial support zone near the important 200 period MA of 49,800 levels below which the overall trend would turn bearish,” said Vaishali Parekh, Vice President of Technical Research at Prabhudas Lilladher

The Bank Nifty index will likely move in the 50,000 to 51,000 range today, she added.

According to VLA Ambala, Bank Nifty could find support at 50,250 and 50,000 and face resistance around 50,650 and 50,800.

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.