Market Outlook for May 27: Nifty 50 & Sensex (NSE) Performance Predictions and Key Trading Insights

<ul>
    <li>The Indian stock market indices are likely to see a muted opening on Monday amid positive global cues.</li>
    <li>The trends on Gift Nifty also indicate a flat start for the Indian benchmark index. The Gift Nifty was trading around 23,025 level, a premium of nearly 10 points from the Nifty futures’ previous close.</li>
    <li>On Friday, the domestic equity benchmark indices ended flat with a negative bias.</li>
</ul>
<p><strong>Expect a flat start for Indian stock indices amid mixed global signals. Key levels to watch for Nifty 50 and Bank Nifty.</strong></p>
<h2><strong>Nifty 50 Prediction</strong></h2>
<p>The Nifty 50 index ended flat on May 24 and a ‘Marubozu’ pattern at the weekly timeframe, reflecting the buying pressure.</p>
<p>“The Nifty remained sideways during the day after crossing above 23,000. Sentiment might remain subdued in the next few days, with the index ranging between 22,950 and 23,050. Heavy call and put writing activity at 23,000 suggests a possible range-bound trade in the near term. Only a decisive fall below 22,950 might take the index towards 22,800," said Rupak De, Senior Technical Analyst, LKP Securities.</p>
<p>On the other hand, he believes a sustained movement above 23,050 might lead to a meaningful rally.</p>
<p>V.L.A. Ambala, Co-founder - Stock Market Today (SMT) noted that the formation of 'Marubozu' pattern at the weekly timeframe, reflects the buying pressure, while the index’s RSI readings are neutral, with its daily, weekly, and monthly levels pointing at 68, 67, and 70, respectively.</p>
<p>“However, if the index’s price breaks below the 22,900 range we may soon notice some selling pressure. Alternatively, if the price continues to trade above the 23,050 level, bullish tendencies will prevail. Considering these, in the next session, Nifty may find support around 22,900 and 22,800, and notice resistance between 23,050 and 23,200," Ambala said.</p>
<h2><strong>Bank Nifty Prediction</strong></h2>
<p>The Bank Nifty index rallied 203 points to close at 48,972 on Friday, forming a bullish candlestick pattern on the daily timeframe.</p>
<p>“Going forward, sentiment is likely to remain positive as long as the index stays above 48,500. Any dips towards 48,500 might attract buying interest. On the higher end, immediate resistance is placed at 49,000, above which the index might move towards 49,500," De said.</p>
<p>According to him, on the lower end, immediate support for Bank Nifty lies at 48,800.</p>
<h3><strong>Conclusion</strong></h3>
<p>The Indian stock market is poised for a flat start with key levels being closely monitored. For Nifty 50, the range of 22,950 to 23,050 will be crucial, while for Bank Nifty, the levels of 48,500 and 49,000 will be significant. Investors should stay vigilant and consider expert advice before making any trading decisions.</p>