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Stock market recap: Indian equity markets snapped a two-day rally on Wednesday, 22 April, as the Nifty 50 fell 198.50 points, or 0.81%, to close at 24,378.10. The BSE Sensex mirrored the decline, slipping about 757 points to end at 78,516.49.
The session was led by a sharp sell-off in IT stocks after HCLTech’s double-digit fall following weak Q4 guidance, dragging the Nifty IT index down nearly 4%.
Sentiment was further pressured by geopolitical concerns after reports of a breakdown in the latest round of US-Iran peace talks, which pushed Brent crude toward $98 and lifted the India VIX by about 7%.
Despite the weakness in frontline indices, broader markets showed resilience. The advance-decline ratio stayed positive at 1,923 gainers versus 1,357 losers, supported by gains in metal, FMCG and power stocks.
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Nifty 50 performance on 21 April
Indian equities ended lower on 22 April, with the Nifty 50 falling 0.81% (198.5 points) to close at 24,378.10, while the Sensex mirrored the weakness amid broad-based profit booking.
The index traded in a narrow range through most of the session but drifted lower in the final hour, closing near the day’s low of 24,352, indicating cautious undertones.
Sectorally, Nifty IT was the biggest drag, falling 3.9%, followed by financials and private banks, which added to pressure on the benchmark. In contrast, defensive and domestic-oriented pockets such as FMCG (+0.75%), along with media, metals and oil & gas, offered some support.
Market breadth remained resilient, with advances outpacing declines (1,923 vs 1,357), signalling underlying strength despite index-level weakness.
Technically, the Nifty 50 saw profit booking near a resistance zone but continues to hold above its 50-DMA (24,348), suggesting underlying strength despite near-term selling pressure. Recent price action reflects a gradual recovery from lower levels, with a sequence of higher lows, though repeated rejection at higher levels points to supply on rallies.
Momentum indicators remain constructive. The RSI is trending upward at 56, above the neutral 50 mark, indicating improving momentum without entering overbought territory. The MACD also stays in positive territory with a bullish crossover and rising histogram, signalling strengthening upside momentum, though the pace has moderated.
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 front, the index is approaching a key supply zone, with immediate resistance in the 24,700–24,800 range, followed by a stronger hurdle near 25,000, aligned with the confluence of the 100-day EMA. On the downside, immediate support lies in the 24,000–23,950 zone, which is likely to act as a near-term cushion. A breach below this band could open further downside toward 23,500, a level that previously served as a base during the recent corrective phase.
Nifty Bank's performance
Nifty Bank opened on a mildly negative note and remained under pressure throughout the session, reflecting a lack of follow-through buying at higher levels. The index opened at 57,163.35, touched an intraday high of 57,438.20 and a low of 57,002.15, before settling at 57,124.45, down 247 points.
The formation of a small-bodied candle with a long lower shadow indicates buying interest at lower levels. However, the inability to sustain above the 57,300–57,400 zone points to persistent overhead supply. The index also faced resistance near its 200-DMA at 57,270.92, reinforcing the view that the recent move is entering a consolidation phase after a sharp recovery, with participants remaining cautious amid key resistance clusters and a lack of clear directional momentum.
From a momentum perspective, the RSI (14) stands at around 57.8, reflecting recovery from oversold levels but still short of a strong bullish zone, signalling neutral-to-positive momentum. The MACD has registered a bullish crossover, with the histogram turning positive, indicating improving short-term momentum. However, both indicators remain below prior peaks, suggesting a developing but not fully established trend.
Overall, RSI holding above 50 supports a base-building structure, but the absence of strong acceleration points to range-bound action in the near term.
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