Market Commentary (closing) for 22nd May 2026 by Bajaj Broking
Below the Market Commentary (closing) for 22nd May 2026 by Bajaj Broking
Market Closing Commentary
Benchmark indices closed on a positive note on 22nd May, supported by buying interest in private banking stocks amid an early recovery in the Indian rupee. However, volatility remained elevated throughout the session as markets faced intermittent profit booking at higher levels in the second half of the session due to persistent geopolitical uncertainty, rising global bond yields, and elevated crude oil prices. At the close, the Sensex advanced 231.99 points or 0.31% to settle at 75,415.35, while the Nifty gained 64.60 points or 0.27% to close at 23,719.30.
On the sectoral front, markets witnessed a mixed trend. Major positive contribution came from Nifty Private Bank, Financial Services, Metal, and PSU Bank stocks, which supported the broader recovery. On the other hand, weakness was observed in Healthcare, Media, and Pharma counters, which capped overall gains. The broader market remained largely stock-specific in nature. The Nifty Midcap 100 index ended marginally higher by 0.14%, indicating selective buying interest, whereas the Nifty Smallcap index slipped 0.15%, reflecting cautious sentiment in the broader space.
Nifty Outlook
Nifty formed a bullish candlestick pattern with small shadows in either direction which remained contained inside previous week price range signaling consolidation amid stock specific action. Going ahead, in the coming week failure to move above the breakdown area of 23,800-23,900, will keep the bias corrective and can lead to testing of the support area of 23,200-23,000. While a move above the breakdown area will signal pause in the downtrend and open upside towards 24,200 & 24,600 levels being the high of April 2026. Volatility is expected to remain high with Key focus on the developments around US–Iran tensions, oil-price trajectories and quarterly corporate earnings.
From a short-term perspective Index need to start forming higher high and higher low on a sustained basis in the daily chart and move above the recent breakdown area of 23,800-23,900 to signal a reversal of the corrective trend. Nifty has key support at 23,200-23,000 being the confluence of the lower band of the 8th April bullish gap area and the 61.8% retracement of the previous pullback (22,182-24,601).
Bank Nifty Outlook
Bank Nifty in the weekly chart formed a bullish candlestick pattern with a lower high and a lower low highlighting buying demand at lower levels from near the key support area of 52,400-52,700 levels. Index likely to consolidate in the range of 52,700-54,700. A move above 54,700 will open further upside towards 56,000 levels in the coming week.
From a short-term perspective Index need to start forming higher high and higher low on a sustained basis in the daily chart and move above the recent breakdown area of 54,500-54,700 to signal a reversal of the corrective trend. Key support is placed at 52,700-52,400 levels being the confluence of the lower band of the 8th April gap area and the 61.8% retracement of the previous pullback (49,955-57,456).
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