The Indian equity indices closed on a negative note for the third trading session on May 30 as India inches towards election results. The Nifty 50 breached the psychological level of 22,500 and closed 216 points or 0.95% lower at 22,488.65. Similarly, the BSE Sensex settled down 617.30 points or 0.83% lower at 73,885.60. However, bucking the trend, banking stocks supported the market. Bank Nifty closed 181 points or 0.37% higher at 48,682.35. Metal and IT stocks were the major draggers. Tata Steel, Tech Mahindra, Power Grid Corporation, Titan Company, and Wipro were the major losers in the Nifty 50 on May 30.
Following the trend, Nifty Midcap 100 dipped 699 points or 01.34% to settle at 51,426.85. In the broader market, smallcap and midcap stocks closed in the red.
“The benchmark index is taking cues from the US market as treasury yields continue to climb following the stickiness of global inflation, delaying the central bank’s interest rates cut policy. Meanwhile, the broader market continued the weak trend, led by profit booking, due to feeble closing of monthly expiry owing to lack of interest to hold short-term positions, as exit poll is slated in the weekend,” said Vinod Nair, Head of Research at Geojit Financial Services.
Markets fall on recession fears in US; Nifty plunges over 200 points and the Sensex ends below 79,000; banks deep in the red MSCI Rejig: HDFC Bank likely to see $1.8 billion inflows, Vodafone Idea, RVNL and 6 other stocks likely to be added Muhammad Yunus: Leading Bangladesh’s transition amidst crisis Private banks’ CASA ratio dips in first quarter
Nifty’s Technical Side
Today’s closing indicates that the bearish pressure will continue in the market. “If Nifty breaks the 22,500 support, the next support levels will be near 22,300-22,000. The levels of 22,800-23,000 will act as immediate resistance for Nifty,” said Mandar Bhojane, Research Analyst at Choice Broking.
Bank Nifty
“Bank Nifty found support near its 21-day EMA, closing with a bullish candlestick. A recovery in large-cap private bank stocks contributed to keeping the index in the green. The critical support level for Bank Nifty is 48,300, while 49,000 serves as strong resistance. A decisive movement is anticipated once these levels are breached,” said Rupak De, Senior Technical Analyst at LKP Securities.