Nifty 50 Index has stayed on the upside for the third successive day on Wednesday as the Indian equities continued to shake off trade tariff fears. The Index was at 23,446 points and had gained 0.4% as of this writing, taking its gains in the last month to 4.6%. US President Donald Trump’s 90-day pause of the 16% trade tariffs against India on top of the baseline 10% have renewed investor confidence and salvaged equities from a steep downtrend.
The coming days will likely see Nifty 50 Index stay on the uptrend as the earnings reports flow in. While Indian equities markets had a torrid run in Q4 2024 through the first quarter of 2025, its economy continued to grow during both periods, and that will likely translate in good profit for most companies in the Nifty 50 Index.
Trump’s announcement that he is considering pausing tariffs against auto parts also augurs well for the Index. India exported approximately $2.2 billion worth of auto parts to the United States in 2024, equivalent to 29.1% of the value of its total global exports. In addition, the Reserve Bank of India (RBI) lowered interest rates by 25 basis points for the second successive month last week, boosting the outlook for the economy amid trade tariff jitters. The RSI reading on Nifty’s daily chart is at 57 signaling a likely continuation of the uptrend in the near-term.
Nifty 50 Index Forecast
The momentum on Nifty 50 Index calls for further upside action above 23,375 points. That will likely see the first resistance encountered at 23,485 points. However, the action could go higher and test 23,640 points in extended bullish conditions.
On the other hand, going below 23,375 will signal a shift in the momentum to the downside. With the sellers in control, the first support will likely be at 23,252. Breaking below that level will invalidate the upside narrative. Also, an extended bearish control could take the action lower to test 23,110.
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