Nifty 50, Sensex today: What to expect from Indian stock market in trade on January 14

The Indian stock market benchmark indices, Sensex and Nifty 50, are likely to open higher on Tuesday, amid mixed cues from global peers.

The trends on Gift Nifty also indicate a gap-up start for the Indian benchmark index. The Gift Nifty was trading around 23,280 level, a premium of nearly 118 points from the Nifty futures’ previous close.

On Monday, the domestic equity market crashed and the benchmark Nifty 50 slipped below 23,100 level.

The Sensex cracked 1,048.90 points, or 1.36%, to close at 76,330.01, while the Nifty 50 settled 345.55 points, or 1.47%, lower at 23,085.95.

Nifty 50 formed a reasonable negative candle on the daily chart with gap down opening and with a long upper shadow.

“Technically, this pattern indicates a decisive downside breakout of a symmetrical triangle pattern with lack of strength to bounce back. The immediate support of 23,260 has been violated on the downside and the market is now placed to slide further lows. The underlying trend of Nifty continues to be weak,” said Nagaraj Shetti, Senior Technical Research Analyst at HDFC Securities.

According to him, Nifty 50 is on the way down to the next lower support of around 22,800 – 22,700 levels, and any pullback up to 23,350 could be a sell-on-rise opportunity.

Here’s what top expect from Nifty 50 and Bank Nifty today:

Nifty 50 Prediction

Nifty 50 witnessed sharp weakness on January 13 and closed the day lower by 345 points.

“Bears remained at the helm as the Nifty 50 continued to breach crucial levels. The index slipped below its previous swing low on the daily chart, indicating increasing bearishness. However, it held the 23,000 mark, which remains a key level to watch. If the Nifty sustains above 23,000 over the next few days, it could signal a potential recovery. Conversely, a decisive fall below this level might trigger a deeper correction,” said Rupak De, Senior Technical Analyst at LKP Securities.

VLA Ambala, Co-Founder of Stock Market Today, noted that both Nifty 50 and Sensex closed below their 50-day exponential moving averages (EMAs), a key technical level, signaling further selling pressure.

“The Nifty is now only 3% away from its 20-month EMA, which had been identified earlier as a critical support zone. Meanwhile, mid-cap stocks also witnessed heavy selling due to profit bookings. However, this pullback could offer long-term investors opportunities to accumulate quality stocks at attractive valuations. On technical charts, Nifty formed an Inverted Hammer candlestick pattern during the day, indicating a strong upper price rejection,” Ambala said.

Considering these developments, Ambala expects Nifty 50 to gain support between 22,950 and 22,800 and face resistance between 23,050 and 23,100 in today’s trading session.

Bank Nifty Prediction

Bank Nifty plunged 692.90 points, or 1.42%, to close at 48,041.25 on Monday, and formed a bearish candlestick pattern on the daily timeframe.

“Bank Nifty maintained below its 250-Days Simple Moving Average (250-DSMA) support which is placed near 49,900 levels and formed a red candle on daily scale, indicating weakness. On the downside, 100-WEMA support is placed near 47,300 levels, which will act as key support,” said Hrishikesh Yedve, AVP Technical and Derivatives Research at Asit C. Mehta Investment Interrmediates Ltd. (A Pantomath Group Company).

According to him, as long as Bank Nifty maintains below 49,900 levels, traders are advised to follow a sell-on-rise strategy.

Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.