Stock Market Update: Nifty, Sensex Set for Weak Open on March 2 Amid Escalating Middle East Tensions

Indian markets are likely to open Monday’s session on a weak note amid intensifying geopolitical tensions in the Middle East. Early cues from GIFT Nifty suggest a gap-down start with index trading near 25,230, around 127.5 points below previous Nifty futures close.

Heightened volatility follows the reported escalation between the US, Israel and Iran which rattled global risk sentiment. 

Friday Recap: Sharp Sell-Off

Sensex declined 961.42 points to close at 81,287.19, while Nifty 50 dropped 317.90 points to settle at 25,178.65.

India VIX rose nearly 5% to 13.50 and it signals a pickup in volatility expectations. Derivative positioning and technical indicators suggest traders are preparing for further swings.

Sensex Outlook

Sensex has tested the 81,200-81,000 range, which is now its primary support level. A sustained break below this band could open the door toward 80,500 and 80,000.

The resistance level is at 82,000 and ends at 82,500 while stronger selling pressure will develop near the 83,000 mark. 

The analysts observe that major stocks provide structural stability while the current market sentiment remains unstable amid global uncertainties.

Nifty 50 Outlook

Nifty 50 has formed a large bearish candle on the daily chart, reflecting decisive selling pressure. Notably, the index has slipped below its 200-day moving average at 25,350 which now becomes immediate resistance.

The weekly chart shows a 1.54% decline accompanied by lower highs and lower lows and it is an indication of weakening momentum. 

Key support levels are at 25,000 followed by 24,800. A break below the psychological 25,000 level may accelerate downside toward 24,700.

The MACD has signaled a bearish crossover while the RSI continues to drift lower. It is suggesting limited buying strength. 

Resistance levels are clustered at 25,400-25,500 and failure to sustain above these zones may attract selling.

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Bank Nifty Outlook

Bank Nifty closed at 60,529, down 658.70 points or 1.08% and has formed a short-term double-top pattern. 

Immediate support lies in the 60,300-60,250 range while a decisive break below 60,000 could push index toward 59,500.

On the upside resistance is seen at 60,700-60,900 with stronger supply near 61,000-61,500. The index has slipped below its 21-day EMA and it reflects fading bullish momentum.