Considering the weak broader market structure, global uncertainties, elevated crude oil prices, and persistent FII outflows, the Nifty 50's upside is likely to remain capped, at least in the short term. In terms of key levels, 22,300 could act as immediate support, followed by 22,180, a crucial swing-low support. A decisive break below the latter could intensify selling pressure. On the upside, the 22,500–22,600 zone is likely to act as immediate resistance, followed by 22,800 as a critical hurdle for further gains. Meanwhile, the Bank Nifty needs to move decisively above its 20-day EMA at 55,425 to extend its recovery towards the 56,200–56,500 resistance zone. On the downside, 54,400 could act as immediate support, followed by 54,000, experts said.
On October 12, the Nifty 50 fell 157 points, or 0.70 percent, to close at 22,363, while the Bank Nifty declined 339 points, or 0.61 percent, to end at 54,918. Market breadth on the NSE favoured declines, with around 1,705 stocks falling compared with 1,580 stocks advancing.
Jay Thakkar, Vice President & Head of Derivatives and Quant Research at ICICI Securities
The Nifty 50 has once again slipped into negative territory after failing to sustain the recovery seen on Friday, when the index snapped its eight-week losing streak. This indicates that selling pressure continues to dominate despite the recent relief rally. The failure to sustain above the 22,600 level suggests that buying interest remains weak at higher levels.
On the downside, the immediate support zone is placed at 22,300–22,200, with 22,180 acting as a crucial swing low. A decisive break below this zone could trigger another round of selling and drag the index towards 22,000 and subsequently 21,700. On the upside, 22,500 is likely to act as immediate resistance, followed by 22,800, which remains a crucial hurdle for any meaningful recovery. Unless the index reclaims and sustains above 22,800, the short-term trend is likely to remain sideways to negative.