Nifty 50, Sensex today: What to expect from Indian stock market on January 20 ahead of Donald Trump inauguration | Stock Market News

The Indian stock market benchmark indices, Sensex and Nifty 50, are likely to open higher on Monday, tracking positive global market cues, ahead of US President Donald Trump’s inauguration.

The trends on Gift Nifty also indicate a higher start for the Indian benchmark index. The Gift Nifty was trading around 23,290 level, a premium of nearly 23 points from the Nifty futures’ previous close.

On Friday, the domestic equity market ended lower, with the benchmark indices breaking their three-day winning streak.

The Sensex declined 423.49 points, or 0.55%, to close at 76,619.33, while the Nifty 50 settled 108.60 points, or 0.47% lower, at 23,203.20.

Nifty 50 formed a small negative candle on the daily chart with minor lower shadow, which indicates lack of strength in the recent upside bounce.

“The previous opening downside gap of 13th January has acted as a strong hurdle as of now. Nifty on the weekly chart formed a small bullish candle with minor upper and lower shadow. Technically, last weekly market action signals formation of doji type candle pattern. Normally a doji pattern after a reasonable weakness could be an impending reversal signal post confirmation,” said Nagaraj Shetti, Senior Technical Research Analyst at HDFC Securities.

According to him, the short-term trend of Nifty 50 remains weak amidst range movement and a decisive upside above 23,400 could only open renewed buying enthusiasm in the market. Immediate support is placed at 23,100.

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

Nifty 50 Prediction

Nifty 50 slipped into weakness with volatility on January 17 and closed the day lower by 108 points.

“Sentiment remains weak as the Nifty 50 index declined after encountering resistance at a crucial moving average. This bearish sentiment may persist in the short term or as long as the index remains below 23,400. On the downside, it could drift toward 23,000. A decisive break below 23,000 might trigger a broader market correction. Conversely, 23,400 is likely to remain a strong resistance level,” said Rupak De, Senior Technical Analyst at LKP Securities.

Puneet Singhania, Director at Master Trust Group, noted that the Nifty 50 is trading below its 21-week and daily EMAs (Exponential Moving Average) and has slipped under the ascending trendline, signaling a bearish sentiment.

“It also breached the critical horizontal support zone of 23,200–23,300, which previously served as a strong support. This breakdown suggests potential downside toward 22,800. However, buying may emerge if the index reclaims 23,400, potentially pushing it to 23,700. Traders should monitor key resistance levels for a bounce, as they present selling opportunities. The trend remains bearish until the index sustains above critical resistance,” said Singhania.

According to VLA Ambala, Co-Founder of Stock Market Today, the Nifty 50 index formed a high wave doji candlestick pattern, signaling market uncertainty.

“The index’s current momentum indicates a further decline in the upcoming weeks. In this situation, Nifty can expect a support level between 23,050 and 22,800 and resistance near 23,350 and 23,420,” Ambala said.

Bank Nifty Prediction

Bank Nifty index plunged 738.10 points, or 1.5%, to close at 48,540.60 on Friday, forming a bearish candlestick pattern on the daily timeframe.

“Bank Nifty extended losses for a third consecutive week, breaking its consolidation zone and closing below its 21-week and daily EMAs. The breach of the ascending trendline, which previously acted as a crucial support, highlights strong bearish sentiment. Important support now lies at 48,000, and a breach of this level could trigger a further decline to 47,200. The index is in a ‘sell-on-rise’ mode, offering selling opportunities for any bounce near 48,900,” Puneet Singhania.

According to him, to manage risk, traders can place a stop-loss at 49,500, and unless Bank Nifty reclaims key resistance levels, the trend remains bearish, with further downside likely.

Hrishikesh Yedve, AVP Technical and Derivatives Research at Asit C. Mehta Investment Interrmediates Ltd. (A Pantomath Group Company) said that on a daily scale, Bank Nifty has formed a big red candle, indicating weakness.

“On the downside, 47,900 levels will provide immediate support for the index. However, the index maintained below its 250-Days Simple Moving Average (250-DSMA) hurdle, which is around 49,910 levels. Traders are advised to adopt a sell-on-bounce strategy unless Bank Nifty holds above 49,910,” 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.