The Nifty Midcap 100 index has declined 6.6% from its record high of 64,451 reached on August 26, hitting an intra-day low of 60,189 on September 16. According to NSE data, the index tested its 200-day moving average (200-DMA) of 60,382 after a gap of five months. The index gained 0.9% on Thursday, trading around 61,400 levels. As reported by Business Standard, analysts note that the overall structure of the Midcap index remains favourable, with key support seen around the 60,000-mark.
Ved Anil Gawkar, CMT, technical research analyst at Almondz Financial Services, highlights that the Midcap index has been forming higher-highs and higher-lows on the daily chart since the breakout in early June 2026. According to the analysis, the Midcap index may form a higher base around the 200-DMA, keeping in line with the higher-low structure. The technical expert expects the selective positive bias in midcap stocks to continue, with near resistance for the Nifty Midcap 100 index at 62,000 levels, above which it can extend the rally to 63,000 and 64,000 levels.
Amid the downturn, 88% or 88 out of the Nifty Midcap 100 stocks were quoting below their respective short-term 20-DMAs, and 58 shares traded below the long-term 200-DMAs. As reported by ACE Equity analysis, 37 midcap stocks declined more than 10% from their respective highs in the last three weeks. The top losers were Godrej Properties, Bharat Dynamics and KEI Industries - down over 20% each. Notable stocks trading below both long-term and short-term moving averages include BSE, Fortis Healthcare, GMR Airports, Ashok Leyland, Dabur India, UPL, Hero MotoCorp, SBI Card, Havells India, Biocon, Suzlon and Swiggy.
The Nifty Midcap 100 decline of 6.6% compares to the Nifty 50 and Nifty Smallcap 100 declines of 5.2% and 5.7% respectively in the same period. With the balance 42% of stocks holding above their respective 200-DMAs, this suggests that the midcap index has been rising amid selective buying. According to the technical analysis, Gawkar does not rule out the possibility of the index reaching new highs by the end of the year, despite the current correction phase.
