Indian Stock Market Outlook: Nifty 50 and Sensex Forecasts for 17 April

Indian Stock Market Benchmark Indices Likely to Open on a Muted Note

The Indian stock market benchmark indices, Sensex and Nifty 50, are expected to open with a subdued tone on Friday, following mixed global market cues despite optimism over the US-Iran peace talks. The trends on Gift Nifty, a futures index, indicate a lukewarm start for the Indian benchmark index.

Thursday's Market Performance

On Thursday, the Indian stock market ended lower, weighed down by profit booking at higher levels. The Sensex dropped 122.56 points, or 0.16%, to close at 77,988.68, while the Nifty 50 settled 34.55 points, or 0.14%, lower at 24,196.75.

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Market Predictions for Sensex and Nifty 50

Sensex formed a small bearish candle on daily charts, indicating indecisiveness between the bulls and the bears. Shrikant Chouhan, Head Equity Research, Kotak Securities, predicts that the 78,500 - 78,700 zone would act as an immediate resistance for the bulls. As long as Sensex is trading below this, the correction formation is likely to continue. On the downside, the index could retest levels of 77,300 - 77,000. On the flip side, above 78,700, the chances of hitting 79,000 - 79,200 would increase.

Nifty 50 index formed a bearish candle on the daily chart, after facing resistance around its 50-DMA near 24,400. Nagaraj Shetti, Senior Technical Research Analyst at HDFC Securities, notes that the near-term uptrend of Nifty 50 remains intact and there is a possibility of further consolidation or minor dip in the next 1-2 sessions before bouncing back again. Immediate resistance to be watched at 24,415 and the key support is placed around 24,100 - 24,000 levels.

Market Predictions for Bank Nifty

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Bank Nifty index ended 215.55 points, or 0.38%, lower at 56,086.40 on Thursday, forming a bearish candle on the daily chart with minor shadows on both sides, indicating a tussle between buyers and sellers and highlighting a phase of near-term indecision after the recent move. Sudeep Shah, Head - Technical and Derivatives Research at SBI Securities, predicts that the zone of 56,500 – 56,600 is likely to act as an immediate resistance for the Bank Nifty index. A sustained breakout above the 56,600 mark could provide fresh momentum and lead to an extension of the pullback towards 57,200, followed by the 57,700 levels in the short term.

Comparison of Market Performance

Market Outlook

The volatility index continued to ease, slipping close to the 18 level, and any further decline is likely to support bullish sentiment. Meanwhile, momentum indicators and oscillators continue to remain in buy mode on the daily chart.