Nifty 50, Sensex today: What to expect from Indian stock market in trade on November 5 ahead of US Presidential Election | Stock Market News
Source: Live Mint
Indian stock market frontline indices, Sensex and Nifty 50, are likely to open lower on Tuesday following mixed global market cues amid uncertainty over US Presidential Elections 2024.
The trends on Gift Nifty also indicate a weak start for the Indian benchmark index. The Gift Nifty was trading around 24,080 level, a discount of nearly 35 points from the Nifty futures’ previous close.
On Monday, the domestic equity benchmark indices ended sharply lower by over 1% each amid selling across the board.
The Sensex crashed 941.88 points, or 1.18%, to close at 78,782.24, while the Nifty 50 settled 309.00 points, or 1.27%, lower at 23,995.35.
Nifty 50 formed a long bear candle on the daily chart with minor lower shadow.
“Technically, this candle pattern indicates a decisive downside breakout of the range movement. Bearish pattern like lower highs and lower lows is continued on Nifty 50 as per daily timeframe chart. The sharp downside breakouts after minor pull back rallies of the last few weeks signal downside breakout of the bearish flag patterns. This could mean that the market is currently in a strong downside momentum,” said Nagaraj Shetti, Senior Technical Research Analyst at HDFC Securities.
According to Shetti, the short term trend of Nifty 50 continues to be down and one may expect more weakness in the short term.
“The next crucial lower supports to be watched are around 23,500, which is 200 day EMA (Exponential Moving Average). Any bounce back from here could find strong resistance around 24,200 levels,” Shetti said.
Here’s what to expect from Nifty 50 and Bank Nifty today:
Nifty 50 Prediction
Nifty 50 slipped into sharp weakness on November 4 and closed the day lower by 309 points.
“Overall short to medium term outlook remains weak for Nifty 50 index and any short covering move will be short lived and will be used by traders to reduce trading long exposure and initiate fresh shorts. On the higher side, Nifty 50 will find strong resistance around 24,200 / 24,340 levels whereas on the lower side 23,800 will act as an immediate support zone,” said Aditya Agarwal, Head of Derivatives & Technical Analysis at Sanctum Wealth.
He believes a close below 23,800 can put additional pressure on the index and in that scenario it can move towards its 200 DMA levels which comes near 23,500.
Bank Nifty Prediction
Bank Nifty index plunged 458.65 points, or 0.89%, to close at 51,215.25 on Monday, forming a long bearish candlestick pattern on the daily charts.
“On the back of selling in private sector banks, Bank Nifty also came under pressure and closed with a loss of almost 450 points. PSU banks tried to provide some support to the index and they outperformed private sector banks in Monday’s session. On the lower side, Bank Nifty will find support around 50,800 levels and below that, it can test 50,200 whereas on the higher side 51,600 / 51,840 will prove as a resistance zone for the index,” said Agarwal.
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.
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