IGI Logo

Nifty 50 Index

* Nifty began the week with a sharp gapdown and remained highly volatile amid escalating tensions between the US, Israel, and Iran, along with a spike in crude oil prices. The index closed at 24,450 on Friday, registering a weekly loss of 728 points. India VIX surged 45% this week to 19.9, reflecting heightened market nervousness.

* On the weekly chart, Nifty has formed a long-legged spinning top, signalling indecision as the index hovers near the crucial horizontal support and the bullish gap zone of 24,164–24,379, formed on 12th May 2025.

* Technically, the index continues to trade within a falling channel and remains below its 200-day SMA, placed at 25,344, indicating a cautious undertone.

* For bulls to regain control, a decisive move above the bearish gap zone of 25,000–25,141 formed on 2 nd March 2025 is essential. On the downside, immediate supports are placed at 24,300 and 24,000, and a sustained break below 24,000 could trigger a deeper correction.

* Meanwhile, the weekly RSI is trending downward and remains below its reference line, reinforcing the prevailing negative bias in the near term.

Bank Nifty Index

*  Bank Nifty began the week on a weak note and remained highly volatile with a clear downward bias. The index closed at 57,783, registering a sharp weekly loss of 2,746 points, significantly underperforming the broader market.

*  The underperformance against Nifty comes amid rising crude prices, which tend to stoke inflationary pressures for oil-importing economies like India. Higher inflation could delay potential RBI rate cuts, keeping borrowing costs elevated and weighing on banking stocks.

* On the weekly chart, the index has formed a long bearish candle with an extended upper shadow, indicating strong selling pressure at higher levels. The formation of a lower high–lower low structure compared to the previous week further highlights prevailing weakness in the near-term trend.

* Technically, a decisive move above 58,000 could trigger fresh buying interest, potentially pushing the index toward the 58,400–59,000 zone. Conversely, a break below 57,500 may accelerate selling pressure, dragging the index toward 57,150–56,800 levels.

* The weekly RSI remains in the negative territory, below its reference line, reinforcing the cautious outlook.

For More Axis Securities Disclaimer https://simplehai.axisdirect.in/disclaimer-home

SEBI Registration number is INZ000161633