Stock Market Update: Sensex Dips 220 Points, Nifty Near 25,200 Amid US Trade Concerns & Visa Fee Hike

On Tuesday, the market is expected to start on a cautious note as global cues and domestic headwinds impact investor sentiment. Gift Nifty trends indicated a soft opening with the index trading at 25,254, a discount of 23 points from the previous close on Nifty futures. 

Market Recap

On Monday, benchmark indices extended their losing streak for a second consecutive session. BSE Sensex declined by 466.26 points (0.56%) to finish at 82,159.97, while NSE Nifty 50 decreased by 124.70 points (0.49%) to end at 25,202.35. 

IT stocks took the biggest hit from selling pressure as there are worries about increased operational costs from changes to visa fees. Reliance Industries also weighed on broader indices. At one point, Sensex had fallen more than 600 points to touch an intraday low of 81,997.

Sensex Outlook

Technical charts indicate continued weakness in the Sensex. Analysts observe that unless the index gets back to 82,500, bearish bias is likely to persist. First support is found around 82,000-81,700, and if that breaks, it could test 81,500. 

On the upside, a break above 82,500 could take the index to 82,800-83,000 levels. Market experts suggest that volatility will dominate, and traders should adopt a level-based strategy.

Nifty 50 Prediction

Nifty 50 formed a high-wave candle with lower highs and lows, reflecting profit booking. Analysts from HDFC Securities highlighted that the short-term structure favors ‘sell on rise’ as long as the index trades below 25,400. 

Key support is around 25,000, an important psychological level, and a break below could lead to exposure to the 24,800-24,960 level. Conversely, a hold above 25,350-25,400 could trigger a bounce toward 25,500. Medium terms are still positive, and many analysts suggest buying the dips.

Bank Nifty View

Bank Nifty closed its session on Monday at 55,284.75, losing 174 points for the day, and making a bearish candle with a long upper shadow. Analysts say the index is facing selling pressure at higher levels, with immediate resistance seen at 55,600-56,000. 

On the downside, the levels of 54,800-55,000 are a crucial support zone. Technical indicators like the RSI and MACD indicate waning bullish momentum, indicating near-term consolidation.

Also Read: S&P 500 rises 0.2%, NASDAQ gains 0.3%, Dow Jones jumps 0.1%, Gold surges 1.1%

Trade Setup and Global Cues

The short-term trade setup indicates that consolidation is between 24,960-25,500. Investors will closely monitor Commerce Minister Piyush Goyal's visit to the US for trade talks, the first since new tariffs and visa fee increases were announced. Progress on this front may determine market direction in the coming days.

Stocks to Watch

Experts have recommended a set of stocks for intraday trading, including NBCC (India) Ltd, Eternal Ltd, Finolex Cables, JB Chemicals & Pharmaceuticals, Patanjali Foods, Enviro Infra Engineers, Intellect Design Arena, and EFC (I) Ltd. These counters are expected to see strong trading activity.