Nifty 50 Prediction for the week: Supports can cushion the fall

Nifty 50, Sensex and Nifty Bank index fell over 2 per cent each, last week. The sharp fall has caused some fear in the market. However, on the charts, Nifty and Sensex look broadly range-bound over the last few weeks. They also have a crucial support which is likely to limit the downside. Nifty Bank index is also having an important support near current levels.

As long as the benchmark indices sustain above their crucial support, there is no major change in our broader positive outlook. The indices have to break the support to come under the danger of seeing more fall. Only then our bullish view will go wrong.

FPIs buy

The Foreign Portfolio Investors (FPIs) snapped their three-week selling spree. The FPIs bought about $426 million in the equity segment last week. The FPIs have to increase their pace of buying in order to support the Sensex and Nifty to go higher. For the month of October, the net outflow now stands at $4.99 billion.

Video Credit: Businessline

Nifty 50 (22,600)

Short-term view: Nifty is struggling to rise above 23,200. But at the same time, it is also getting good buyers around 22,300. As seen from the weekly chart, the index is broadly in a range.

Near-term support is at 22,300-22,250. Below that, 22,100 and 21,800 are the next important supports.

We expect the Nifty to sustain above 22,100 itself. Broadly, 22,100-23,200 can be the possible trading range in the short term. Eventually, we expect the Nifty to breach 23,200 and rise towards 23,800 and 24,000.

The danger is only if the Nifty breaks below 21,800. If that happens, a fall to 21,500 and lower levels can be seen.

Medium term view: The broader 22,000-26,500 range is still intact. Last week’s fall have not changed the big picture. The expected rise to 24,000 mentioned above will increase the chances of seeing 26,500, the upper end of the range, over the medium term.

We retain our long-term bullish view as well. Nifty is likely to breach 26,500 and rise to 28,000 and 30,000 in the long term.

Our bullish view will go wrong only if the Nifty breaks below 21,800.

Nifty Bank (54,287.35)

Short-term view: Contrary to our expectation of seeing a rise to 56,700, Nifty Bank index has come down sharply. Immediate support is in the 54,000-53,800 region which is holding well for now. As long as the index stays above this support, the near-term picture will remain positive. Nifty Bank index can rise to 57,000 in the coming weeks.

The index can come under more selling pressure if it breaks below 53,800. In that case, a fall to 53,000-52,800 can be seen in the short term. That in turn will keep the downside open to see 52,000 and even 51,000 as well.

Medium-term view: The level of 51,000 is a crucial support for the Nifty Bank index. We expect it to limit the downside in case the index breaks down below 53,800 in the coming weeks.

As long as the index stays above 51,000, there is no change in our broader bullish view. Nifty Bank index can rise to 60,000-61,000 over the medium term. From a long-term perspective, the index has potential to target 68,000-69,000 on the upside.

The index has to decline below 51,000 to prove our bullish view wrong.

Sensex (73,123.83)

Short-term view: The index is facing resistance around 74,800 over the last couple of weeks. The downside remains open to see 71,500-71,300. After this fall, we expect the Sensex to rise back and go up to 73,000-74,000 again.

Broadly, 71,000-75,000 can be the possible short-term trading range. A fall below 71,000 is needed for the index to come under pressure and see 70,750 and even lower levels.

Medium-term view:  For now, the 71,000-86,000 range is still intact. The expected bounce from around 71,300 and the rise to 75,000 will confirm the same. An eventual break above 75,000 will then take the Sensex higher towards 86,000 in the medium term.

There is no change in our long-term bullish view as well. Sensex can breach 86,000 eventually and rally to 90,000 and 94,000 in the long term.

The level of 69,800 is a crucial support to watch below 71,000. The bullish view will go wrong only if the Sensex declines below this support.

Nifty Midcap 150 (20,592.75)

The sharp 5 per cent fall last week has taken the index well beyond our expected level of 20,800.  A crucial support is around 20,400 which is holding well for now. A strong bounce from here and a subsequent rise above 21,000 is needed to get some breather. If that happens, then a relief rise to 22,000 can be seen in the coming weeks.

But, if the Nifty Midcap 150 index breaks below 20,400, then there is a danger of seeing 19,000 on the downside.

From a long-term perspective, the region between 19,000 and 18,800 is a very strong support. So, a fall beyond 18,800 is less likely.

A strong bounce from this 19,000-18,800 support zone can take the Nifty Midcap 150 index higher to 23,000-23,500 over the medium term. It will also keep the long-term bullish view intact to see 26,000-26,500 and 28,000 on the upside.

As such, the fall to 19,000-18,800 can be a good opportunity to enter the Midcap segment from a long-term perspective.

Nifty Smallcap 250 (16,385.15)

The index has tumbled 7 per cent last week. This has dragged it below an important support level of 16,500. Key resistances are now at 16,900 and 17,300. As long as the index stays below 17,300, the bias will remain negative. Nifty Smallcap 250 index can fall to 15,100-15,000 from here. An extended fall to 14,000 is also a possibility that cannot be ruled out in a worst-case scenario.

We expect the index to rise back from around 15,000 itself. That in turn can take it higher towards 17,000 again. The upside will then remain open to see 18,500 over the medium term.

This bounce will also keep the long-term bullish view intact. An eventual break above 18,500 can then clear the way for a rally to  23,000 and even 24,500 in the long term.

The danger is only if the Nifty Smallcap 250 index declines below 14,000. In that case, our long-term bullish view will go wrong and 13,000 can be seen on the downside. For now, we see less probability for our view to go wrong. So, we prefer to see the fall to 15,000 as a good buying opportunity.

Published on October 24, 2026