Nifty 50, Sensex today: What to expect from Indian stock market in trade on January 23

The Indian stock market benchmark indices, Sensex and Nifty 50, are likely to see a tepid opening on Friday, amid gains in global markets as geopolitical tensions seem to be easing.

The trends on Gift Nifty also indicate a muted start for the Indian benchmark index. The Gift Nifty was trading around 25,345 level, a discount of nearly 4 points from the Nifty futures’ previous close.

On Thursday, the Indian stock market snapped its three-session losing streak and ended higher.

The Sensex rose 397.74 points, or 0.49%, to close at 82,307.37, while the Nifty 50 settled 132.40 points, or 0.53%, higher at 25,289.90.

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

Sensex Prediction

Sensex formed a back to back indecisive pattern, and that may keep the market volatile within the broader trading range.

“We believe that, given the intraday market volatility, traders need to be careful while trading at resistance and support levels. On the downside, 81,900 could act as key support zones, while 82,900 and 83,200 could act as key resistance levels for bulls. Below 81,900, Sensex could move towards 81,500,” said Shrikant Chouhan, Head Equity Research, Kotak Securities.

Nifty OI Data

Derivatives data shows heavy call writing at the 25,400 strike and significant put writing at the 25,200 strike, establishing this range as a key near-term pivot. Traders are advised to remain cautious near key support levels and wait for a confirmed breakout above resistance before taking fresh directional positions, said Hitesh Tailor, Research Analyst - Research at Choice Equity Broking.

Nifty 50 Prediction

Nifty 50 index formed a high-wave candle, indicating market indecision with significant activity on both sides.

“A small red candle was formed on the daily chart with upper and lower shadow. Technically, this market action indicates a formation of high wave type candle pattern. The formation of high wave type candles in the last two sessions signals heightened volatility in the market. The crucial 200-day EMA support was regained on Thursday and the Nifty 50 closed above it,” said Nagaraj Shetti, Senior Technical Research Analyst at HDFC Securities.

According to him, the overall near-term trend of Nifty 50 remains weak, but the short-term bounce is unfolding.

“A sustainable up move above 25,500 could confirm a near term bottom reversal pattern for the Nifty 50. On the other side, any weakness from here could drag Nifty 50 down to the recent swing lows of around 24,900 - 25,000 levels in the near term,” said Shetti.

Nilesh Jain, Head – Technical and Derivatives Research Analyst (Equity Research), Centrum Broking expects that while a follow-through move on the upside cannot be ruled out, a decisive breakout above the immediate resistance of the 100-DMA at 25,590 is crucial.

“On the downside, the 200-DMA placed near 25,130 continues to act as a strong support. Meanwhile, the volatility index, India VIX, cooled off towards the 13 level, and a further decline would be conducive to sustaining positive sentiment,” said Jain.

In the near term, he believes some consolidation is likely before the Nifty 50 index makes a stronger directional move on the upside.

Bank Nifty Prediction

Bank Nifty index rallied 399.80 points, or 0.68%, to close at 59,200.10 on Thursday, forming a classical doji on daily chart, indicating indecision following the sell-off.

“Bank Nifty index has decisively moved above its 50 day EMA, which is a positive development and indicates strengthening short term momentum. From a technical perspective, the 59,500 – 59,600 zone is expected to act as an immediate and important resistance for the index. A sustainable move above 59,600 would be critical and could trigger a continuation of the upward momentum, potentially leading to a further rally towards 60,100, followed by 60,600 in the short term,” said Sudeep Shah, Head - Technical and Derivatives Research at SBI Securities.

On the downside, he believes the 58,800 – 58,700 range is likely to provide strong support, and this zone will be crucial to watch, as a hold above it may keep the bullish bias intact, while a breach could bring back selling pressure and dampen near term sentiment.

Ponmudi R, CEO, Enrich Money noted that the price action remains confined within a short-term rising channel, indicating consolidation rather than trend initiation. Momentum remains neutral, with RSI hovering in the mid-50 zone, reflecting the absence of strong directional conviction.

“A sustained breakout above 59,600 is required to revive bullish momentum and unlock higher targets, while a decisive breakdown below 58,700 could invite fresh selling pressure toward lower support zones. Until then, Bank Nifty is likely to remain range-bound with two-sided intraday opportunities,” said Ponmudi R.

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.