Nifty 50 continues to trade under pressure. The index has extended fall and is trading lower. Nifty opened with a gap-down at 23,722 and is now trading at 23,644, down 0.74 per cent. The advances/declines ratio is at 10:40. This clearly indicates that the sentiment is highly negative in the market.

Nifty 50 Outlook

The fall below 23,700 today negates the short-term bullish outlook. This could add more selling pressure on the Nifty. As long as the Nifty stays below 23,700, the bias will remain negative. There is room for a fall to 23,500-23,450 in the coming sessions.

A rise above 23,700 is needed to ease the downside pressure. Only then it can rise back to 23,800-23,850 again. But the sentiment seems to be highly negative. So, a rise above 23,700 is unlikely.

Nifty 50 Futures

The Nifty 50 May Futures (23,654) is down 0.9 per cent. It has declined breaking below the key support level of 23,750. That has turned the short-term outlook bearish. The Nifty 50 May Futures contract can fall to 23,450-23,400 in the coming sessions.

The contract has to rise above 23,750 to get a breather. Such a rise, though unlikely, can take the contract higher to 23,850-23,900.

Trade Strategy

Traders can go short at 23,654 and on a rise at 23,730. Keep the stop-loss at 23,770. Trail the stop-loss down to 23,630 as soon as the contract goes down to 23,605. Revise the stop-loss down to 23,580 and 23,510 when the contract falls to 23,540 and 23,480 respectively. Exit the long positions at 23,460.

Supports: 23,450, 23,200

Resistances: 23,750, 23,850

Published on May 12, 2026