After two consecutive sessions of losses and heightened volatility, the stock market is expected to open Friday’s trade on a cautious yet stable note, with technical analysts predicting range-bound movement in the 30-share Sensex amid mixed global cues, persistent foreign fund outflows, profit booking at higher levels and the ongoing geopolitical tensions in West Asia.
Sensex at close on Wednesday, May 27
Created with AI. Errors are possibleFinancials, oil & gas, IT and private banking shares were the major drag while energy, metals, and auto shares advanced, capping the downside.
Market experts maintain a cautiously positive but highly selective outlook for the near term, keeping a sharp eye on crucial defensive thresholds.
Sensex Prediction for Friday, May 29 by Hitesh Tailor
However, the market failed to sustain at higher levels and gradually witnessed selling pressure through the latter half of the session. The Sensex slipped to an intraday low of 75,748.21 before settling at 75,867.80, indicating a cautious undertone near resistance zones, he stated.
Sector-wise, Power, Capital Goods, Utilities, Metal, Industrials, Auto, Consumer Discretionary, Telecommunication, and Consumer Durables witnessed strong buying interest and outperformed during the session. On the other hand, Top 10 Banks, Private Banks, Financial Services, BANKEX, Information Technology, Focused IT, Oil & Gas, FMCG, and Energy sectors witnessed mild weakness and profit booking. Banking and IT-related indices remained under pressure, while broader market participation stayed selective, Tailor added.
Technically, Tailor said the Sensex continued to face resistance near the 76,200–76,400 zone, where profit booking emerged once again. “Although the index managed to hold above the 75,700 zone, failure to sustain higher levels suggests cautious sentiment in the short term. Immediate support is now placed around 75,000–75,200, while resistance is seen near 76,400–76,500,” he said.
“Sustaining above support levels may keep the broader structure stable, while a decisive breakout above resistance could trigger fresh upside momentum in upcoming sessions,” the analyst cautioned.
For Friday’s trading session, Tailor stated, “The overall market bias remains cautiously positive as the index continues to trade above key support levels despite intermittent profit booking near higher zones. However, lack of sustained momentum near resistance levels indicates that traders may remain selective in the near term. As long as Sensex sustains above the 75,000–75,200 support zone, the broader undertone may remain stable with stock-specific trading opportunities.”
Broader markers on Wednesday, May 27
Broader markets closed on a mixed note with the BSE SmallCap Select index declining by 0.29 per cent and MidCap Select index gaining 0.52 per cent.
Among sectoral indices, Top 10 Banks edged lower by 0.90 per cent, Private Banks index dropped 0.83 per cent, Financial Services by 0.64 per cent, Bankex by 0.48 per cent, Focused IT by 0.26 per cent and IT by 0.26 per cent.
Capital Goods jumped 3.21 per cent, followed by Utilities (2.39 per cent), Power (3.27 per cent), Metal (1.74 per cent), Auto (1.33 per cent), Telecommunication (1.02 per cent) and Consumer Discretionary (1.01 per cent).
Foreign Institutional Investors (FIIs) offloaded equities worth Rs 2,407.87 crore on Tuesday, according to exchange data.
Brent crude, the global oil benchmark, dropped 3.24 per cent to USD 96.35 per barrel.
Stock and forex markets were closed on Thursday, May 28 for Bakri Id.
(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.)
