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Stock market recap: Indian equity benchmarks ended a volatile session on Monday with a positive bias. Indices had opened higher, tracking firm global cues, and briefly strengthened around midday, but gave up most gains as concerns around the US-Iran ceasefire kept sentiment cautious.
Sensex closed up 26.76 points at 78,520.30, while Nifty 50 edged up 11.30 points to settle at 24,364.85.
Sectoral performance was mixed. Nifty PSU Bank (+0.87%) and Nifty Auto (+0.33%) provided support, while Nifty IT (-0.70%) and Metal (-0.39%) emerged as key laggards.
Market breadth remained weak, underscoring the lack of conviction in the broader market. On the NSE, the advance-decline ratio stood at roughly 1:1.6, with 1,262 stocks advancing against 2,045 declining, while 120 remained unchanged.
Investors are likely to stay cautious in the near term as elevated crude oil prices and a sharp 9.61% jump in the India VIX point to heightened volatility ahead.
Buy: Blackbuck Ltd (current price: ₹617)
Buy: City Union Bank Ltd (current price: ₹266)
Nifty 50 performance on 20 April
Indian equities ended on a muted note on 20 April, with the Nifty 50 closing marginally higher by 0.05% at 24,364.85. The session remained range-bound, with a mild negative bias in the latter half of the day. The index moved between 24,241 and 24,480, reflecting hesitation at higher levels and intraday profit booking at the upper end of the range.
Market breadth stayed weak, with declines clearly outpacing advances. The advance-decline ratio stood at 1,262:2,045, indicating underlying pressure despite the flat headline close.
Sector-wise, gains in PSU Banks, Media, and Auto offered some support. However, IT (-0.70%), Realty (-0.62%), and Metals lagged, weighing on sentiment. FMCG and Pharma also closed in the red, suggesting mild selling pressure in defensive pockets. Financials were mixed, with private banks underperforming while PSU banks provided support.
On the technical front, the Nifty 50 continues to show a short-term recovery after the recent sharp correction, with price action gradually forming higher lows over the past few sessions. However, the index is now hovering around its 50-DMA, which is acting as an immediate supply zone, pointing to the possibility of near-term profit booking at higher levels.
Momentum indicators are improving but not stretched. The RSI has rebounded to around 57, suggesting strengthening momentum while still remaining below overbought territory. The MACD has also registered a positive crossover, with rising histogram bars indicating improving bullish momentum.
According to O’Neil’s methodology of market direction, the Indian equity market has transitioned to a “Confirm Uptrend” from a “Rally Attempt.”
On the technical levels, the Nifty is approaching a key supply zone. Immediate resistance is placed in the 24,400–24,500 range, followed by a stronger hurdle near 24,800, aligned with the confluence of the 50- and 100-day EMAs. On the downside, immediate support is seen around 24,000–23,950, which is expected to act as a near-term cushion. A break below this zone could open the way for further weakness, with stronger support placed near 23,500.
Nifty Bank's performance
Nifty Bank opened marginally positive and traded within a narrow range, reflecting indecisive market sentiment. The index opened at 56,704.05, touched an intraday high of 57,085.10 and a low of 56,356.55, before closing at 56,582.35, up 0.03%. Despite attempts to move higher, the index failed to sustain gains near the day’s peak and settled around the mid-range, indicating mild profit booking at elevated levels. The price action suggests a consolidation phase following the recent recovery, with participants awaiting stronger directional cues amid mixed undertones.
From a technical perspective, the RSI is currently around 56, indicating improving momentum and a gradual shift toward bullish territory after rebounding from lower levels. The MACD has recently registered a bullish crossover, with the histogram turning positive, pointing to strengthening near-term momentum. However, both indicators are yet to confirm a strong trend, suggesting that the recovery remains in its early stages and lacks firm follow-through.
On the levels front, immediate support is placed around 55,300–55,000, aligning with the 20-DMA, while stronger support is seen near 53,900, coinciding with the 21-DMA. On the upside, resistance is placed around 57,100–57,300, followed by a more significant hurdle in the 58,200–58,500 zone, aligned with the 100-DMA and prior breakdown levels.
Going forward, a sustained move above 57,300 could trigger short covering and extend the recovery toward higher levels. Conversely, failure to hold above near-term support may keep the index in a broader consolidation range with a mildly positive bias.
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