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

The Indian stock market indices, Sensex and Nifty 50, are likely to extend losses on Thursday after a sharp drop in the previous session, tracking mixed cues from global peers.

The trends on Gift Nifty also indicate a negative start for the Indian benchmark index. The Gift Nifty was trading around the 22,048 level, a discount of nearly 60 points from the Nifty futures’ previous close.

On Wednesday, the domestic equity indices witnessed a sharp fall of more than a percent amid broad-based selling across sectors with the benchmark Nifty 50 closing below the 22,000 level.

The Sensex plummeted 906.07 points, or 1.23%, to close at 72,761.89, while the broad-based Nifty 50 settled 338.00 points, or 1.51%, lower at 21,997.70.

Nifty 50 formed a long bear candle on the daily chart, that has moved below the immediate support of 10/20 day EMA (Exponential Moving Average) and also the uptrend line as per daily chart.

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“The way, Nifty declined from a near all-time high of 22,526 levels recently, it is indicating a possible formation of an important top reversal pattern at all-time high. The bullish pattern like higher tops and bottoms continued on the daily chart and present weakness could be in line with the new higher bottom formation. But a decisive move below 21,860 levels (last higher bottom of 29th Feb) could negate this bullish setup and that could eventually form a bearish pattern like lower tops and bottoms,” said Nagaraj Shetti, Senior Technical Research Analyst, HDFC Securities.

Shetti believes the short-term trend of the Nifty 50 seems to have reversed down. Follow-through weakness from here is expected to drag the Nifty 50 down to 21,500 levels in the near term.

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

Nifty OI Data

Coming to the Open Interest (OI) data, on the call side, the highest OI was observed at 22,000 strike prices while on the put side, the highest OI was at 21,800 strike price.

Nifty 50 Prediction

The Nifty 50 index plunged over 300 points to end below the 22,000 level on March 13.

“The Nifty has experienced a breakdown from a rising channel on the daily chart, signaling the conclusion of the previous uptrend and the potential beginning of a downtrend. Additionally, the index has descended below the recent consolidation phase on the daily timeframe, further emphasizing the increasing weakness. The Relative Strength Index (RSI) with a period of 14 is showing a bearish crossover and has dropped below the 50 mark,” said Rupak De, Senior Technical Analyst, LKP Securities.

He believes, in the short term, the index may continue to be susceptible to selling pressure with resistance anticipated around 22,250. On the downside, support levels are positioned at 21,800 and 21,700.

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Bank Nifty Prediction

The Bank Nifty index slumped 301 points to close at 46,981 on Wednesday.

“The bears maintained full control as the index faced rejection at the 47,500 mark, establishing it as a strong resistance zone. The index continues in a “sell on rise” mode until this resistance is overcome on a closing basis. Moreover, breaching its 20-DMA suggests a follow-up selling pressure that could drive the index lower toward the 46,000/ 45,500 mark,” said Kunal Shah, Senior Technical & Derivative Analyst at LKP Securities.

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.