Indian benchmark Nifty 50 opened the week under pressure, slipping from recent highs amid weakening market breadth and cautious investor sentiment. Analysts watch key support levels as the index navigates potential deeper declines or rebounds.
Nifty 50 started the week under pressure, with the index slipping after opening at 24,354.65 and trading around 24,302, according to The Hindu BusinessLine. Market breadth also weakened, with decliners outnumbering gainers, reinforcing the softer tone at the start of trading.
The immediate level to watch is 24,250, where the index may find support during the session. A rebound from that zone could help Nifty recover towards 24,350 to 24,400 in the next few sessions, while a clean break below 24,250 would raise the risk of a deeper slide towards 24,000 to 23,950.
For Nifty 50 futures, August contracts were quoted at 24,343, down 0.44 per cent, with 24,290 emerging as the first important support. If buyers step in there, the contract could again challenge 24,350 to 24,400; if not, the next downside levels to monitor are 24,200 and then 24,050. The publication said traders may prefer to stay on the sidelines until the market shows its hand around that support.
The cautious tone comes after a volatile first half of the year. Axis Direct said in an April technical outlook that the benchmark had been trading in a broader bullish structure, with resistance then seen much higher, while an earlier March update from Mirae Asset Mutual Fund described a steep correction and fresh short positions building at the index level. Together, those reports underline how quickly sentiment has shifted over recent months, even as Nifty continues to draw support from the depth and liquidity of its derivatives market, which Nifty Indices says is among the most active in the world.
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