Stock Market Update: Nifty 50 Holds 24,000, Sensex Eyes 76,800 Amid Uncertainty in the Middle East

The Indian stock markets are expected to open flat after a rally in global markets amid uncertainty around US-Iran peace talks. GIFT Nifty indicates a slight positive start, trading at 23,994 with a premium of around 20 points from its previous Nifty futures close.

On Monday, the Sensex declined 372.10 points or 0.48% to finish at 76,728.37, while the Nifty 50 fell 109.75 points or 0.46% to settle at 23,946.25.

The Indian rupee opened marginally lower at Rs. 94.57 per dollar on Tuesday versus the previous close of Rs. 94.53. 

Foreign institutional investors (FIIs) remained net sellers for the session, offloading equities worth Rs. 1,350.10 crore on June 29. Domestic institutional investors (DIIs) emerged as net buyers with Rs. 2,801.45 crore.

Sensex Outlook

Technically, the Sensex formed a bearish candle on the daily charts, indicating further weakness from the current levels.

“76,800 would act as an immediate reference point for day traders. Below this level, the market could retest the levels of 76,200-76,000. On the flip side, above 76,800, the rally could continue towards 77,300-77,500. The intraday market texture is non-directional. Hence, level-based trading would be the ideal strategy for day traders," said Shrikant Chouhan, Head of Equity Research at Kotak Securities.

Nifty 50 Outlook

The Nifty 50 continued to consolidate around the psychologically important 24,000 mark after forming a small bearish candle with a lower high and lower low on the daily chart, indicating a corrective bias in the short term.

“Immediate resistance to remain in the 24,100-24,150 zone, which coincides with Monday's intraday high. On the downside, immediate support is placed between 23,900 and 23,800. Analysts also identify the 23,500-23,600 region as a crucial short-term support area, while the next major resistance is near the 24,600,” said Bajaj Broking Research.

"We believe overall bias is positive and current breather should be used as a buying opportunity as we expect Nifty to gradually head towards the 24,500-24,600 levels in the coming weeks," the brokerage added.

Also Read: US Stock Market Today: S&P 500 Climbs as Easing US-Iran Tensions Boost Stocks and Comcast Soars

Bank Nifty Outlook 

On Monday, Bank Nifty declined 449.70 points or 0.77% to close at 57,727.35, forming a small bearish candle with a lower high and a lower low, signaling consolidation.

"Going ahead, bias remains positive, and dips towards the support area of 57,000 should be used as a buying opportunity for a gradually upward move towards 59,200 levels in the coming sessions being the 138.2% external retracement of the previous decline 57,456-52,783," said Bajaj Broking.

The brokerage noted that the banking index continues to find strong support around the 57,000 level. As long as this support holds, the overall outlook is expected to remain positive.