Nifty 50, Sensex Forecast: Indian Stock Market Outlook for 3 June

Indian Stock Market Benchmark Indices Track Mixed Global Trend

The Indian stock market benchmark indices, Sensex and Nifty 50, are expected to open lower on Wednesday, following a mixed trend in global markets amid a fresh escalation in the US-Iran war. The trends on Gift Nifty also indicate a weak start for the Indian benchmark index, trading around 23,456, a discount of nearly 147 points from the Nifty futures' previous close.

On Tuesday, the Indian stock market snapped its four-day losing run to end higher, with the benchmark Nifty 50 closing above 23,400. The Sensex rallied 382.50 points, or 0.52%, to close at 74,649.84, while the Nifty 50 settled 100.95 points, or 0.43%, higher at 23,483.55.

Sensex and Nifty 50 Predictions

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Sensex formed a promising reversal pattern on intraday charts, and a bullish candle on daily charts, indicating a further uptrend from the current levels. According to analysts, key support levels for the Sensex are 74,000 and 73,800, while resistance points are 75,000 and 75,300. If the Sensex breaches 73,800, the sentiment could turn negative, and traders are advised to exit their long positions.

Nifty 50 index formed a strong bullish candlestick pattern on the daily timeframe, indicating sustained buying interest from lower levels. The index found strong support around 23,230, which now serves as an immediate support level. The 50-DMA near 23,690 remains the key hurdle on the upside. A decisive move above 23,700 could trigger further upward momentum.

Bank Nifty Prediction

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Bank Nifty index ended 71.55 points, or 0.13%, higher at 53,714.65 on Tuesday, forming a bullish candle with a lower high and a lower low on the daily chart, highlighting consolidation amid stock-specific action. The index continues to trade below its key moving averages, indicating a cautious undertone in the near-term trend. Key support and resistance levels for the Bank Nifty index are 53,500 - 53,400 and 54,200 - 54,300, respectively.

Going ahead, several analysts expect the Bank Nifty index to extend consolidation in the range of 52,500 - 54,600, while only a breakout or breakdown will signal directional movement in the index.