Amid elevated crude oil prices, US 10-year Treasury yields hovering around 5 percent, India VIX above 16 and a weak broader technical structure, experts advised traders to remain cautious. On the levels front, 22,800 is expected to act as the immediate crucial resistance for the Nifty 50. A sustained move above this level could open the door for an upmove towards 23,000. However, in the event of a further correction, the 22,500–22,400 zone may provide immediate support, followed by 22,200 as a crucial support level. Meanwhile, the Bank Nifty needs to reclaim 54,500 to strengthen its recovery prospects, with a potential upmove towards 54,700–55,000 if it sustains above this level. On the downside, support is placed in the 53,700–53,600 zone.
On October 28, the Nifty 50 fell 51 points, or 0.22 percent, to 22,699, while the Bank Nifty rallied 292 points, or 0.54 percent, to 54,267. Market breadth on the NSE favoured advances, with 1,741 shares rising compared with 1,516 declining shares.
Sudeep Shah, Head - Technical and Derivatives Research at SBI Securities
The benchmark index Nifty has been consolidating within a narrow range of 457 points over the past five trading sessions, largely forming indecisive candlestick patterns that reflect a lack of directional conviction. In contrast, the broader market has shown relative strength, with the Nifty Midcap 100 and Nifty Smallcap 100 witnessing a healthy rebound from their recent lows.
From a technical standpoint, Nifty continues to trade below its key short-term moving averages, indicating that the near-term trend remains under pressure. However, momentum indicators and oscillators suggest a phase of consolidation rather than a sharp directional move. Notably, the daily RSI has been moving sideways for the last eleven trading sessions, highlighting the absence of strong momentum in either direction.