As the Nifty 50 is the benchmark index of the indian stock market and represents the performance of the top 50 largest and most liquid companies listed on the National Stock Exchange of India (NSE). So, this index will be very sensitive to any level of uncertainty that happens in the market. That’s what’s happening nowadays for the Nifty 50 amid rising tensions between India and Pakistan.
Nifty 50 Technical Analysis:
By the end of Wednesday’s trading session, the indian stocks closed higher with indices moving upwards. The index rose by 0.14% while the Sensex increased by around 0.13%.
while today, May 8th, they are flat not moving up or down. And this is in response to India’s “Operation Sindoor” yesterday and the US Federal Reserve’s decision last night.
However, the smaller and mid-size companies listed are doing a bit better than the main indexes. (Indian Stock Market News)
If we look at different sectors, we will find that traders are selling off stocks in auto, consumer goods, metals, oil and gas, and pharma. On the other hand, they are buying stocks related to IT, banks, and media.
The top bullish stocks in the Nifty at midday are Tata Motors, Titan, HCL Tech, and Kotak Mahindra. They are rising by around 1:1.8%.
In short, the Nifty 50 is quite stable today as the whole indian stock market, because the market tries to digest the ongoing events such as the military operation and the US Federal Meeting, so some sectors are doing better than others based on how they react. So there is a sense of uncertainty in the market.
As mentioned in the live chart below, the Nifty 50 is still trading under its treated high of $24,500, which puts the price under the pressure of this strong resistance, so it would be likely to go downward if we see a clear day close below $24,310, and this will open the door for reaching these levels of support $24,055 and then $24,030.
If the price can not break out of these support levels down the price will be trading in the same range between $24,350 and $24,030.
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