Nifty 50 has opened the day with a wide gap-up and is trading higher. The index opened at 24,183 and touched a high of 24,250 in the early trades. It has come off from the high and is currently trading at 24,165, up 0.55 per cent. The advances/declines ratio is at 43:7. This trend to sustain during the day for the Nifty to hold on to its gains. We will have to wait and see.

Nifty 50 outlook

Nifty continues to remain stuck inside the 23,800-24,350. Within that the index has been very volatile. The gap-up open today increases the chances for the Nifty to go up towards the upper end of the range.

Ideally, a breakout on either side of 23,800-24,350 will only give us a clear picture on the next leg move. Until then we can expect the index to remain volatile within the range.

So, we will have to wait for the range breakout to get clarity.

Nifty 50 futures

The Nifty 50 futures (24,245) is up 0.6 per cent. Support is in the 24,220-24,120 region. Resistance is in the 24,350-24,400 region. A strong break above 24,400 is needed to strengthen the bullish case. Only then the upside will open up for a rise to 24,500-24,600 and higher in the coming sessions.

Failure to breach 24,400 and a fall below 24,120 will bring the contract under pressure. If that happens, the contract can fall to 23,950-23,850.

Trade strategy

On Monday we recommended taking a long position. Yesterday, we suggested to go short. Both the views have gone wrong. This clearly indicates that the market is stuck inside a range and we are getting the direction wrong within that. So, we prefer to stay out of the market until we get clarity.

Supports: 24,220, 24,120

Resistances: 24,350, 24,400

Published on May 6, 2026