Nifty 50, Sensex prediction today: Check how Indian stock market is expected to trade on 3 June

The Indian stock market benchmark indices, Sensex and Nifty 50, are likely to open lower on Wednesday, tracking a mixed trend in global markets, amid fresh escalation in the US-Iran war.

The trends on Gift Nifty also indicate a weak start for the Indian benchmark index. The Gift Nifty was trading around 23,456 level, a discount of nearly 147 points from the Nifty futures’ previous close.

On Tuesday, Indian stock market snapped its four-day losing run to end higher, with the benchmark Nifty 50 closing above 23,400 level.

The Sensex rallied 382.50 points, or 0.52%, to close at 74,649.84, while the Nifty 50 settled 100.95 points, or 0.43%, higher at 23,483.55.

Here’s what to expect from Sensex, Nifty 50 and Bank Nifty today:

Sensex Prediction

Sensex formed a promising reversal pattern on intraday charts, and a bullish candle on daily charts, indicating a further uptrend from the current levels.

“We are of the view that 74,000 and 73,800 would act as immediate support levels for day traders. As long as Sensex is trading above these levels, the pullback formation is likely to continue. For the Sensex, 75,000 and 75,300 levels are key resistance points,” said Shrikant Chouhan, Head Equity Research, Kotak Securities.

On the flip side, below 73,800 he believes the sentiment could turn negative, and if that level is breached, he advises traders to exit their long positions.

Nifty Options Data

In the derivatives segment, significant call writing was observed at the 23,500 and 23,700 strikes, while put writing was concentrated at the 23,500 and 23,300 levels, indicating a broad trading range with immediate support placed around lower levels.

Nifty 50 Prediction

Nifty 50 index formed a strong bullish candlestick pattern on the daily timeframe after opening at the day’s low and closing near the day’s high, indicating sustained buying interest from lower levels.

“Nifty 50 index found strong support around the 23,230 mark, which now serves as an immediate support level, while the 50-DMA near 23,690 remains the key hurdle on the upside. The broader market structure continues to remain range-bound, and a decisive move above 23,700 could trigger further upward momentum,” said Nilesh Jain, VP- Head of Technical and Derivative research at Centrum Finverse Ltd.

Meanwhile, the volatility index, INDIAVIX, declined by 7% to close near 15 levels. According to Jain, any further moderation in volatility is likely to provide additional support to bullish sentiment.

Ajit Mishra – SVP, Research, Religare Broking Ltd highlighted that the Nifty 50 rebounded after retesting its previous swing low around the 23,250 mark, and the closing pattern suggests the possibility of a further recovery.

“However, the upside is likely to remain capped by the key resistance zone of 23,800 – 24,000. Given the prevailing choppy market conditions, we maintain a cautious stance and recommend focusing on stock selection and disciplined trade management,” said Mishra.

Bank Nifty Prediction

Bank Nifty index ended 71.55 points, or 0.13%, higher at 53,714.65 on Tuesday, forming a bullish candle with a lower high and a lower low on the daily chart, highlighting consolidation amid stock specific action.

“Bank Nifty continues to trade below its key moving averages, indicating a cautious undertone in the near-term trend. From a technical perspective, the daily RSI has been moving in a sideways range for the past 38 trading sessions, reflecting a lack of directional strength and consolidation in the index. This prolonged sideways momentum suggests that a decisive breakout on either side will be crucial to establish the next directional move,” said Sudeep Shah, Head - Technical and Derivatives Research at SBI Securities.

Going ahead, he believes that the 54,200 – 54,300 zone is expected to act as an immediate hurdle for the Bank Nifty index, and a sustained move above this zone could provide the required impetus for an upward move.

“On the downside, the 53,500 – 53,400 zone will serve as a crucial support area. A breach below 53,400 may intensify selling pressure, dragging the Bank Nifty index towards the next important support level placed around 52,800,” said Shah.

Bajaj Broking Research expects the Bank Nifty index to extend consolidation in the range of 52,500 - 54,600, while only a breakout or breakdown will signal directional movement in the index.

“Bank Nifty index has key support placed at 52,700 - 52,500 being the confluence of the lower band of the 8th April bullish gap area and the 61.8% retracement of the previous pullback (49,955 - 57,456). On the higher side resistance is placed at 54,600 - 55,000 levels being the confluence of current week high and 20 days EMA,” said Bajaj Broking Research.

Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.