The NSE Nifty 50 index has completed 100 trading days below its long-term 200-day moving average since February 27, 2026, according to reports from Business Standard. This represents the second most number of days the index has spent below this key technical indicator in the last 10 years, with only the Covid-19 market fall in 2020 recording more days at 95 trading sessions between February 26, 2020 and July 16, 2020. The current downtrend began after the index touched a high of 26,373 on January 5 before falling to a low of 22,183 on April 2, slipping below its 200-DMA amid geopolitical conflict in West Asia.
Since the April low, the Nifty 50 has rebounded 8.2% to around the 24,000 mark, though it remains nearly 3% below its 200-DMA at the 24,790 levels, as reported by Business Standard. The index's recovery attempt has been hampered by significant underperformance across major constituents, with nearly 50% of Nifty 50 stocks trading below their respective 200-DMAs. Notable underperformers include Bharti Airtel, HDFC Bank, Hindustan Unilever, Infosys, ITC, Larsen & Toubro, Maruti Suzuki India, Reliance Industries, State Bank of India, and Tata Consultancy Services.
From a technical perspective, the 23,700–23,600 zone continues to serve as immediate support for Nifty 50, according to analysts cited by Business Standard. A decisive break below this level could accelerate selling pressure and drag the index toward the 23,500–23,300 support zone. The index recently moved above its 100-DMA at 23,846, which now acts as short-term support, with analysts expecting consolidation to continue within the 23,600–24,500 range. A breakout above the 24,500 hurdle could trigger a rally toward 24,750–25,450 levels.
According to Ponmudi R, CEO of Enrich Money, the near-term technical outlook remains bearish, with a sustained move above 24,000 essential to revive sentiment, while a break below 23,600 could trigger another leg of downside. Shrikant Chouhan from Kotak Securities suggests investors use pullbacks to reduce weak long positions in the 24,100–24,200 zone, with fresh buying considered selectively on declines toward the 23,800–23,700 support area. The 200-DMA acts as one of the key technical indicators in determining positive and negative trends, with stocks trading above this long-term moving average considered likely to trend up.
