What to anticipate from stock market indexes in trading on October 26: Nifty 50 and Sensex today

 What to anticipate from stock market indexes in trading on October 26: Nifty 50 and Sensex today

Nifty 50 and Sensex, the Indian stock indexes, are probably going to start lower on Thursday, following the declines in their overseas counterparts.

The Indian benchmark index is off to a gap-down start, according to Gift Nifty's trends. The Gift Nifty was trading at 19,041, compared to the previous closing of 19,130 for the Nifty futures.

On Wednesday, the domestic markets closed down for the fifth straight day due to worries about the continued conflict between Israel and Hamas, poor Q2 results, and rising US Treasury rates.

In the end, the Nifty 50 finished at 19,122.15, down 159.60 points, or 0.83%, whilst the Sensex closed 522.82 points down at 64,049.06.

On the daily chart, the Nifty 50 produced a long bear candle, indicating that the market had seen two straight days of steep falls. This also suggests a clear negative breach of the nearby supports in the levels of 19,300-19,250.

The weekly chart shows that Nifty has dropped below the 20-week EMA, which has been the major support for the previous 6-7 months. According to the idea of shift in polarity, Nifty is now trading around the edge of another weekly support of the long-term trend accordance at 19,120 "said HDFC Securities Technical Research Analyst Nagaraj Shetti.

He thinks the Nifty's short-term trend is still downward.

What Nifty and Bank Nifty should be aiming for today is as follows:

NASDAQ 50

According to Shetti, as the Nifty is now at the long-term support at the lows, there may be a little upward rebound from the nearby 19,100–19,000 levels. 

In the near future, a breach of 19,000 is probably going to reveal the following downside of 18,600 levels. Strong resistance might be seen around the 19,250–19,350 levels for any bullish rebound from here, according to Shetti.

For the second day in a row, selling pressure affected the Nifty, and on Wednesday it closed below the critical 19,200 support level.

"A negative trend is indicated by the index's closing below its key moving averages. While resistance is anticipated in the region of 19,250-19,300, as suggested by a significant amount of call writing during today's trading session, the immediate support is now around 19,000 with the biggest open interest in put option contracts, according to Rupak De, Senior Technical Analyst at LKP Securities.

Nifty Bank

On October 25, the Bank Nifty index fell 319 points and closed at 42,832, breaching the psychological barrier of 43,000.

As a result of the Bank Nifty bears' continued dominance, the 43,000 support level was breached. It is still preferable to use a "sell on rise" approach since the general market attitude is still gloomy. "We see immediate resistance at 43,500, and additional selling pressure may push the index down to 42,000, which is a long-term support level," LKP Securities Research Technical & Derivative Analyst Kunal Shah said.