Stock market today: Gift Nifty up 44 pts; Key levels to watch for Sensex, Nifty & Nifty Bank

Indian benchmark indices are set to open higher on Wednesday amid positive cues from the global market. However, gains are likely to remain capped amid the rising volatility and tariff concerns. Traders will be keenly awaiting the outcome of RBI’s monetary policy meeting on Friday, which kicks-off today.

Nifty futures on the NSE International Exchange traded 44.20 points, or 0.18 per cent, higher at 24,719.50, hinting at a positive start for the domestic market on Wednesday. Asian stocks inch higher on Wednesday. KOSPI zoomed nearly 2.4 per cent, while Nikkei and Hang Seng added up to one per cent each.

The street is gripped by uncertainty amid President Trump’s unpredictable tariff moves, though hopes linger for imminent deals with India, Japan, and South Korea. A full rollback of the April 2 tariffs could ignite a Nifty rally, but until then, caution prevails, said Prashanth Tapse, Senior VP (Research) at Mehta Equities. All eyes now turn to a potentially dovish RBI policy on June 6.”

US stocks closed higher on Tuesday as investors awaited possible negotiations between the United States and trading partners for more clarity on tariff plans. The Dow Jones Industrial Average rose 0.51 per cent to 42,519.64, the S&P 500 gained 0.58 per cent to 5,970.37 and the Nasdaq Composite jumped 0.81 per cent to 19,398.96.

The on-again-off-again tariffs from Trump have led to investors fleeing U.S. assets looking for safe havens, including gold and other currencies. The dollar index was at 99.11, not far from the six-week low of 98.58 touched on Monday. The index is down 8.5 per cent this year. On the other hand, Gold rose 0.5 per cent to $3,369.59 per ounce

Oil prices eased, weighed down by a loosening supply-demand balance following increasing OPEC+ output and lingering concerns over the global economic outlook due to tariff tensions. Brent crude futures dipped 0.06 per cent to $65.59 a barrel while US West Texas Intermediate crude was at $63.35 per barrel, down 0.09 per cent.

The ongoing foreign fund outflows, coupled with weak global cues such as geopolitical tensions and uncertainty over trade deals, are adding pressure to the markets, said Ajit Mishra, SVP of Research at Religare Broking. “We recommend maintaining caution in stock selection and trade management in the current environment,” he adds.

Provisional data available with NSE suggest that FPIs turned net sellers of domestic stocks to the tune of Rs 2,853.83 crore on Tuesday. On the other hand, domestic institutional investors (DIIs) turned buyers of Indian equities to the tune of Rs 5,907.97 crore on a net-net basis. FPIs have dumped equities worth Rs 11,900 crore in the last three trading sessions.
 

Nifty & Sensex outlook
Shrikant Chouhan, Head Equity Research, Kotak Securities believes that the intraday market texture is weak, but a fresh sell-off is possible only if the level of 24,450/80,500 is breached. Below this, the index could decline to 24,320–24,300/80,100-80,000. “On the upside, if the index moves above 24,600/81000, a quick pullback rally towards 24,700/81,300 could occur,” he said.

Very short-term support is placed at 24,500. A fall below this level may trigger an increase in short positions, potentially leading to a swift decline towards 24,000, said Rupak De, Senior Technical Analyst at LKP Securities. “On the other hand, if the Nifty holds above 24,500, it could see a recovery towards the 24,700–24,750 zone in the near term,” he said.

Nifty Bank outlook
The short-term structure remains constructive with immediate support is placed at 55,000–55,200 levels, while key short-term support is seen at 54,000–53,500, which coincides with the 50-day EMA, key Fibonacci retracement levels, and the lower end of the established five-week consolidation band, said Bajaj Broking Research.

Nifty Bank formed a green candle on the daily charts, indicating bullish undertone. On the upside, immediate resistance is seen near the 56,100, and a firm breakout above this level could extend gains towards 57,000–57,500, said Hrishikesh Yedve, AVP Technical and Derivative Research, Asit C Mehta Investment Interrmediates.