Nifty 50, Sensex and Nifty Bank index were stuck in a narrow range all through last week. The benchmark indices have not gone anywhere in the past 10 days. Broadly, the near-term picture is slightly unclear. Market can go either way from here. So, it is better to stay out of the market and just watch the movement until a clarity is obtained. Key resistances are ahead. The benchmark indices have to breach this hurdle to turn the sentiment positive. Else, they can remain vulnerable to fall more in the short term.

FPIs Sell

The Foreign Portfolio Investors (FPIs) sold Indian equities for the fifth consecutive week. However, the quantum of selling was relatively low last week. The equity segment saw a net outflow of about $555 million last week.

Video Credit: Businessline

Nifty 50 (23,719.30)

Short-term view: The index has been stuck between 23,250 and 23,860 for the last 10 days. Key resistance is around 23,900. Nifty has to breach this hurdle to ease the downside pressure. Only then a rise to 24,300 and 24,700 will come into the picture.

As long as the Nifty stays below 23,900, there is a danger of breaking below 23,250. Such a break can drag it down to 22,750 or even 22,350 in the short term.

Medium-term view: There is no change in the broader picture. The index remains well within its broad 22,000-26,500 range and is now moving up within it. The bias remains positive to see a bullish breakout above 26,500 eventually. That will boost the momentum and take the Nifty up to 28,000-30,000 in the long term.

This bullish view will go wrong only if the Nifty declines below 22,000. If that happens, a fall to 21,000-20,000 will come into the picture. However, for this fall to happen, fresh negative trigger is needed.

Nifty Bank (54,055.35)

Short-term view: Nifty Bank index has been oscillating around the crucial support level of 53,700. Key resistance is around 55,100. Support is at 52,750. A breakout on either side of 52,750-55,100 will determine the next leg of move.

A break above 55,100 will be bullish to see 57,000-58,000. On the other hand, a break below 52,750 will increase the downside pressure. Such a break can drag the index down to 51,500 or even 50,500. For now, it is a wait-and-watch situation.

Medium-term view: The overall bullish outlook is intact. Intermediate resistance is around 60,500. A break above it can trigger a fresh rise to 64,000-65,000 in the medium term. From a big picture, Nifty Bank index has the potential to target 68,000-69,000 over the long term.

Nifty Bank index has to decline below 50,000 to negate the above-mentioned bullish view. If that happens, a fall to 49,000-48,000 can be seen.

Sensex (75,415.35)

Short-term view: Sensex remains below 76,000. It has been stuck between 74,135 and 75,945. The index has to rise above 76,000 to get a relief rise to 76,500-77,000. However, a subsequent rise above 77,000 is needed to turn the short-term outlook positive. Only then the upside will open up for a rise to 78,000 and higher.

Failure to breach 76,000 can keep the index under pressure to break below 74,135. Such a break can drag the Sensex down to 73,000 or even 71,500.

Medium-term view: Sensex has been oscillating in a wide range of 71,000-86,000. So, even if a fall happens from here, it can be limited to 71,000. The bias remains positive to see a bullish breakout above 86,000. Such a break can take the Sensex up to 90,000 initially and 94,000 eventually in the long term.

A fall below 71,000 is needed to turn the outlook bearish. Only then a fall to 69,000 and lower levels will come into the picture.

Nifty Midcap 150 (22,504.20)

The index has risen back sharply after falling to a low of 21,842. The bounce indicates the presence of strong buyers at lower levels.  Ideally, the 21,700-21,600 support zone mentioned last week has been holding very well. That keeps our broader bullish view intact.

As mentioned last week, we see high chances to get a bullish breakout above the key resistance level of 23,100 eventually. Such a break will see the Nifty Midcap 150 index rallying to 26,000-26,500 initially and then to 28,000-28,500 eventually in the long term.

A fall below 21,600 is needed to turn the short-term picture negative. If that happens, a fall to 21,300 or 20,800 can be seen. For the long-term bullish view to get negated, Nifty Midcap 150 index has to decline below 20,800. That looks less likely.

Nifty Smallcap 250 (16,775.30)

The fall below the support at 16,450 was short-lived. The index touched a low of 16,272 and has risen back well recovering all the loss.

Immediate resistance is at 16,900. A break above it can take the index higher to 17,500-18,000 in the short-term.

As mentioned last week, the region around 18,300 is a crucial resistance. A break above it can boost the bullish momentum. Such a break can take the Nifty Smallcap 250 index up to 22,500-23,000 and even 24,000 in the long term.

From a big picture, 14,000 is a strong support. The long-term outlook will turn bearish only if the index declines below this support. But that looks unlikely.

Published on May 23, 2026