Nifty 50, Sensex today: What to expect from Indian stock market in trade on March 6

The Indian stock market benchmark indices, Sensex and Nifty 50, are likely to open higher on Thursday, tracking a rally in global markets.

The trends on Gift Nifty also indicate a flat-to-positive start for the Indian benchmark index. The Gift Nifty was trading around 22,467 level, a premium of nearly 26 points from the Nifty futures’ previous close.

On Wednesday, the domestic equity market benchmark indices ended with gains of over 1% each, with Nifty 50 breaking a 10-day losing streak.

The Sensex jumped 740.30 points, or 1.01%, to close at 73,730.23, while the Nifty 50 settled 254.65 points, or 1.15%, higher at 22,337.30.

Here’s what to expect from Sensex, Nifty 50 and Bank Nifty today:

Sensex Prediction

Sensex bounced back sharply on Wednesday and closed 740 points higher at 73,730.

“Technically, after a long correction, the Sensex successfully cleared the 73,200 resistance zone, and post-breakout, the positive momentum intensified. A long bullish candle and a promising reversal formation on the daily charts indicate a further uptrend from the current levels. We are of the view that as long as the Sensex is trading above 73,200, the bullish sentiment is likely to continue,” said Shrikant Chouhan, Head Equity Research, Kotak Securities.

According to him, on the higher side, Sensex could move up to 74,300 – 74,500 and on the flip side, if it falls below 73,200, the uptrend would be vulnerable. Below this level, he suggests traders may prefer to exit their long positions.

Nifty OI Data

The derivatives market indicates a neutral stance, with balanced positioning by call and put writers, reflecting a cautious approach by market participants.

“Heavy open interest at the 22,500-call strike (1.20 crore contracts) reinforces it as a strong resistance level. Conversely, substantial put accumulation at the 22,000 strike (1.31 crore contracts) underpins this zone as a robust support base. The 22,300–22,000 range is under considerable put writing pressure, while shifting call writing to higher strikes enhances the budding bullish sentiment,” said Dhupesh Dhameja, Derivatives Analyst, SAMCO Securities.

The Put-Call Ratio (PCR) moved up from 1.02 to 0.71, highlighting the improved market sentiment. Additionally, the Max Pain level at 22,400 suggests that despite volatility, bulls may continue to absorb declines in the near term, he added.

Nifty 50 Prediction

Nifty 50 rallied 1.15% to end at 22,337.30 on March 5, halting its losing streak and defending the 22,000 level, which suggests that a short-term bottom may be in place.

“Nifty 50 witnessed a solid rebound as the 21,800 – 22,000 zone provided strong support. The index has moved up after two days of sideways trading. Besides, the RSI is in a bullish crossover and has risen from the oversold zone. In the short term, the trend is likely to remain strong, with the potential to rise towards 22,700 and higher. On the lower end, support is placed at 22,100 / 22,000,” said Rupak De, Senior Technical Analyst at LKP Securities.

Om Mehra, Technical Analyst, SAMCO Securities, noted that a morning star candlestick pattern, a bullish reversal formation, has emerged on the daily chart, highlighting the potential for recovery. The key indicators such as the daily RSI and ADX have exhibited positive divergence from lower levels, signalling improving momentum.

The 9-EMA (Exponential Moving Average), positioned at 22,520, aligns closely with the 61.8% Fibonacci retracement level, marking it a key resistance zone. The market breadth is improving, with support shifting higher to 22,050. The India VIX has dropped below 14, indicating reduced fear in the market. If Nifty 50 manages to sustain above 22,400, that could shift from a ‘sell on rise’ approach to a ‘buy on dips’ strategy in the short term,” said Mehra.

VLA Ambala, Co-Founder of Stock Market Today believes that the Indian stock market is recovering due to its attractive valuation compared to the last five years, making this a suitable time for investing.

“ On the technical side, the benchmark index Nifty 50 formed a Bullish Belthold candlestick pattern in the latest session, signaling positive momentum. The RSI of Nifty 50 increased from 22 to 33 in one day, suggesting a possible swing trading opportunity for traders in the index level. Amid these developments, Nifty can find support near 22,230 and 22,200 and face resistance near 22,700 and 22,830 in the next trading session,” said Ambala.

Bank Nifty Prediction

Bank Nifty index rallied 244.75 points, or 0.51%, to close at 48,489.95 on Wednesday, forming a bullish candlestick on the daily chart and filling the gap, indicating underlying strength.

“After exhibiting a triple-bottom formation, Bank Nifty appears poised for an upward move. The daily RSI is recovering from lower levels, further supporting the possibility of continued upside momentum. The 9-EMA, currently placed at 48,700, acts as a minor resistance level. A decisive breakout above this level could lead to a further rally towards 48,900 – 49,000,” said Om Mehra.

According to him, the support for Bank Nifty remains intact at 48,200, followed by 48,100, offering stability in case of any pullback.

Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.