The Indian equity markets ended nearly flat after a highly volatile trading session on Thursday, with benchmark indices recovering from steep intraday losses but eventually ending slightly lower as profit-booking at higher levels erased early gains triggered by strong global cues.
Amid this, market experts believe the NSE Nifty 50 is likely to remain range-bound and volatile on Friday, May 22, with traders closely tracking key technical support and resistance levels amid geopolitical uncertainty, elevated crude oil prices and expiry-related volatility.
Created with AI. Errors are possibleOn Thursday, the NSE Nifty 50 index closed at 23,654.70 with a decline of 4.30 points or 0.02 per cent, while the BSE Sensex settled at 75,183.36, down by 135.03 points or 0.18 per cent.
Market experts said investor sentiment remained cautious due to concerns related to the Middle East situation, crude oil prices, currency movements and bond yield pressures.
Nifty losers and gainers on Thursday
On the Nifty index, Bajaj Finance, Tech Mahindra and Hindustan Unilever were among the major losers. On the other hand, Grasim Industries, IndiGo, Apollo Hospitals, Bajaj Auto and BEL were the top gainers on the index.
Market experts suggest that the underlying trend remains choppy, predicting a highly range-bound session for Friday as bulls repeatedly fail to clear critical resistance hurdles.
Nifty Prediction for Friday, May 22 by Nandish Shah
According to Nandish Shah – Deputy Vice President, HDFC Securities said, “For the last six trading sessions, Nifty has slipped into an alternating pattern of one session of gain followed by one session of loss. Today, Nifty opened 171 points higher on the back of strong global cues, touched its intraday peak of 23,859 within the first few minutes, but failed to sustain momentum and reversed sharply. It declined more than 260 points from the high to eventually close at 23,654, down 4 points. NSE cash market turnover rose 6% compared to the previous session.”
Among heavyweights, Grasim, IndiGo, and Apollo Hospitals were the top gainers, while Bajaj Finance, Hindustan Unilever, and Tech Mahindra emerged as key laggards.
Sectoral trends were mixed. Nifty Realty, Consumer Durables, and Auto indices ended in the green, whereas IT, FMCG, and Media sectors witnessed selling pressure and closed lower.
Broader markets showed a mixed undertone, with the Nifty Midcap 100 ending flat and the Nifty Smallcap 100 advancing 0.63%. Market breadth remained positive for the third consecutive session, as the BSE advance-decline ratio improved to 1.37, indicating sustained buying interest in mid- and small-cap stocks, Shah stated.
“The Indian rupee snapped a nine-day losing streak, appreciating by 62 paise, to emerge as Asia’s top-performing currency. This recovery follows a retracement in crude oil prices amid tentative signs of easing geopolitical friction, alongside active central bank intervention. Moving forward, investor focus will remain anchored on geopolitical developments and the upcoming RBI monetary policy review,” he noted.
Technically, Shah said Nifty continues to exhibit a choppy trend and has once again failed to sustain above the 23,800 resistance level.
Immediate support is now seen near 23,400, aligned with an upward sloping trendline connecting recent higher lows. On the upside, a decisive close above 23,800 could trigger a pullback towards the 50-day EMA, currently placed around 24,016, he concluded.
Nifty Prediction for Friday, May 22 by Sachin Gupta
Sachin Gupta, VP – Research, Technical Research, at Choice Broking Private Limited said, “Indian equity benchmark Nifty index witnessed a flat to marginal negative close on 21st May 2026. The index opened with a gap-up of 171.05 points at 23,830.05, reflecting positive sentiment at the start of the session. The index registered its intraday high of 23,859.90 within the first few minutes of trade. However, selling pressure emerged from higher levels thereafter, dragging the index steadily lower throughout the session. The weakness persisted through the day as the index slipped to an intraday low of 23,596.60 before finally settling at 23,654.70, ending the session with a marginal decline of 4.30 points or 0.02%. On the daily timeframe, the index formed a bearish candlestick pattern after failing to sustain at higher levels. The index also witnessed rejection from the 20-DEMA on the daily timeframe, indicating selling pressure emerging near higher resistance zones and cautious undertones in the broader trend.”
From a technical perspective, Gupta stated the immediate support is placed in the 23,350–23,400 zone, while resistance is observed in the 23,900–23,950 range.
“The Relative Strength Index (RSI) stands at 45.55, indicating neutral-to-weak momentum in the near term. The volatility index, India VIX, declined by 3.35% to close at 17.82, indicating easing volatility and slightly improving stability in market sentiment,” he added.
In the derivatives segment, notable call writing was observed at the 23,700 and 23,800 strikes, while put writing was concentrated at the 23,600 and 23,500 levels, indicating immediate support near lower levels while resistance continues to remain firm near higher strikes, Gupta stated.
Sectorally, the market witnessed mixed sectoral performance during the session. Strength was visible in Cement, Realty, Consumer Durables, Healthcare, Chemicals, Auto, and PSU Bank indices, while weakness persisted in IT, FMCG, Financial Services, Banking, and Media stocks. Market breadth remained positive overall, with advancing stocks outnumbering declining stocks, indicating selective buying interest in the broader market despite weakness in benchmark indices, the analyst stated.
“The Bank Nifty Index opened with a gap-up of 400.90 points at 53,963.10, indicating positive sentiment in the banking space at the opening bell. The index registered its intraday high of 54,109.15 within the initial few minutes of trade. However, profit booking emerged from higher levels thereafter, resulting in sustained selling pressure through the session. The weakness dragged the index to an intraday low of 53,156.15 before it eventually settled at 53,439.40, ending the session with a decline of 122.80 points or 0.23%. On the daily timeframe, Bank Nifty formed a bearish candlestick pattern, reflecting weakness after failing to sustain above higher levels. The continued selling pressure through the session suggests cautious sentiment prevailing in the banking space,” Gupta said.
From a technical perspective, immediate support is placed in the 52,800–52,900 zone, while resistance is observed in the 54,250–54,350 range. The Relative Strength Index (RSI) stands at 40.53, indicating weak momentum in the index though support-based buying interest may continue near lower levels, he said.
“Markets witnessed a volatile trading session with both benchmark indices opening sharply higher amid positive sentiment. However, the inability to sustain at elevated levels resulted in persistent profit booking throughout the day, dragging the indices lower from their opening highs. Despite weakness in benchmark indices, broader market participation remained relatively positive with advances outnumbering declines, indicating selective buying in broader market segments,” Gupta added.
Going forward, sustained movement above immediate resistance zones will remain crucial for confirming stronger recovery momentum, while support zones continue to hold importance for maintaining near-term stability in the market, Gupta concluded.
Nifty Prediction for Friday, May 22 by Nagaraj Shetti
Nagaraj Shetti, Senior Technical Research Analyst at HDFC Securities, said Nifty was not able to hold on the opening gains on Thursday and closed the day on a flat note amidst choppy movement.
He noted, “Nifty opened on an upside gap of 170 points and started to come down soon after the opening. The weakness with range bound action continued in the mid to later part of the session and Nifty eventually closed at the day’s low. The opening upside gap has been filled completely.”
He further stated a long red candle was formed on the daily chart that reflects inability of bulls to surpass the crucial overhead resistance of 23800 levels. Nifty is still placed within a high low range of 23800-23300 levels, but rising lows were observed on the daily chart.
“The underlying trend of Nifty remains choppy. A decisive move only above 23850-23900 levels is likely to open broad-based buying in the market for the near term. However, further weakness from here could find support around 23500 levels,” Shetti added.
Sectoral indices performance on Thursday
In the sectoral indices on NSE, a mixed trend was visible. Nifty Realty gained 1 per cent, while Nifty Auto rose 0.28 per cent, Nifty PSU Bank advanced 0.22 per cent, Nifty Metal gained 0.20 per cent and Nifty Pharma surged 0.19 per cent.
On the losing side, Nifty IT declined 0.56 per cent, Nifty Media fell 0.35 per cent and Nifty Private Bank index slipped 0.15 per cent.
Meanwhile, Brent crude oil prices moderated marginally compared to Wednesday but remained elevated, trading at USD 105 per barrel at the time of filing this report.
In the commodities market, gold prices traded flat at Rs 1,59,538 per 10 grams for 24 karat gold. Silver prices, however, declined 0.80 per cent to close at Rs 2,71,950 per kilogram.
(Disclaimer: The above article is meant for informational purposes only, and should not be considered as any investment advice. ET NOW DIGITAL suggests its readers/audience to consult their financial advisors before making any money related decisions.)
