Nifty Ends 4-Day Slide at 24,366 Amid Market Weakness

The Nifty 50 index concluded its fourth consecutive session of decline on Friday, closing 29 points lower at 24,366. This extended a gradual weakening trend observed over the past nine sessions, with the index marking a 0.83% loss for the week.

Friday’s trading activity remained subdued, characterized by a narrow 100-point range throughout the day. A modest recovery of approximately 10 points during the Closing Auction Session (CAS) helped to mitigate the final decline.

Key Market Indicators

• Nifty 50 closed at 24,366, down 29 points.
• Weekly Nifty 50 loss stood at 0.83%.
• Nifty Midcap 100 declined by 0.53%.
• Nifty Smallcap 100 decreased by 0.69%.
• BSE advance-decline ratio fell to 0.84, indicating increased profit booking.
• Indian rupee traded between 95.40-95.45 against the US dollar, closing near ₹95.43.

Most sectoral indices finished in negative territory, excluding Media and Consumer Durables. Financial Services, Pharma, and Metal sectors recorded the most significant underperformance.

Nifty 50 Top Movers

• Top Performers: Apollo Hospitals, Bharti Airtel, Adani Enterprises.
• Primary Laggards: Tata Motors Passenger Vehicles, Jio Financial Services, ONGC.

The broader market also reflected this weakness, as the Nifty Midcap 100 and Nifty Smallcap 100 both registered declines. This widespread downturn underscores a cautious sentiment among investors.

The Indian rupee continued its depreciation trend, facing sustained pressure against the US dollar. This currency movement adds another layer to the prevailing market dynamics.

Outlook and Technical Levels

Indian equities are projected to remain range-bound next week, with global cues and macroeconomic developments gaining prominence following the conclusion of the Q1FY27 earnings season. Siddhartha Khemka of Motilal Oswal anticipates more selective stock-specific actions as investors assess the sustainability of earnings recovery and broader domestic fundamentals.

Key factors influencing the market in the near term include developments in West Asia, crude oil prices, with Brent crude remaining above $87 due to US-Iran tensions, and overall global risk sentiment.

• Nagaraj Shetti of HDFC Securities identifies a potential decline towards the 24,200-24,000 support zone, with 24,500 acting as immediate resistance.
• Sudeep Shah of SBI Securities points to immediate resistance at 24,500-24,550, suggesting a sustained move above this could extend the Nifty’s pullback towards 24,700 and then 24,850. Immediate support is seen at 24,230-24,200, coinciding with the 100-day EMA.
• Rupak De of LKP Securities notes weak overall sentiment, with the index potentially slipping to 24,180, and 24,400 serving as crucial resistance.
• Vinay Rajani of HDFC Securities highlights the 24,360-24,385 zone as critical, as the Nifty closed near its 20-day DEMA at 24,363 and 200-day DEMA at 24,385. Rajani identifies immediate support at 24,265, followed by 24,000, and resistance zones at 24,630 and 24,750.

A sustained close below the 200-day DEMA could weaken the technical outlook further, while a move above 24,630 would improve short-term market sentiment.