The Nifty has closed below both its 50-day and 100-day EMAs, which cluster around 24,200, marking a decisive break of short-term trend support. According to Vinay Rajani, CMT, senior technical analyst at HDFC Securities, this move has retraced more than 50% of the 1,168-point rally from 23,606 to 24,774 registered between 24 July and 3 August 2026. The latest market data shows Nifty 50 lost around 133 points to end at 24,155, extending losses for the sixth consecutive session. Sensex fell around 493 points to close at 77,235, marking the third straight session of decline. As per Jainam, crude oil remained the primary drag on market sentiment while rising US bond yields and weak global cues prolonged the risk-off trend. Broader markets also closed in the red, with Nifty Smallcap 100 and Nifty Midcap 100 falling up to 0.4%.
Resistance has shifted lower to the 24,300–24,350 band, with a stronger supply zone around 24,400–24,500. As reported by HDFC Securities, a decisive break and close below 24,050 would open room toward 23,800–24,000, while a reclaim of 24,350–24,400 would be needed to arrest the six-day slide and signal short-term stabilization. According to Rupak De, Senior Technical Analyst at LKP Securities, the Nifty slipped below the 50EMA for the first time in many days, with the RSI remaining in a bearish crossover and continuing to decline. Initial support is likely to emerge at 24,050–24,000, while resistance is visible at 24,240. The weakness persists as the Nifty weekly options contracts expire, heightening bearishness in the market.
GRSE is recommended as a buy at ₹2,680 with a stop loss at ₹2,490 and target of ₹2,950. According to HDFC Securities, the stock has broken out from a falling wedge pattern on the daily chart, accompanied by rising volume. The stock is placed above all key moving averages, with daily RSI sustaining above 50 and daily MACD rising above the signal line.
Tata Capital is recommended as a buy at ₹363.65 with a stop loss at ₹350 and target of ₹399. As reported by HDFC Securities, the stock has broken out from the downward-sloping trend line on the daily chart, accompanied by rising volume. The stock is placed above all key moving averages, with daily RSI sustaining above 50 and daily MACD reaching above the equilibrium and signal line.
The continued market weakness is attributed to fading Middle East peace hopes, elevated crude prices, rising US yields and weak global cues that have intensified risk-off sentiment. As noted by Vinod Nair, Head of Research at Geojit Investments, crude oil remained the primary drag on market sentiment, while rising US bond yields and weak global cues prolonged the risk-off trend. Elevated US yields further reduced the attractiveness of emerging markets, and IT stocks led losses amid fears that persistently high interest rates could dampen global technology spending. The S&P 500 Energy sector gained 1.4% as Brent crude futures rose 0.5% at around three-week highs following Iran's shift to a 'fully offensive' military posture after stalled peace negotiations. Despite the bearish technical indicators, 1,558 stocks witnessed advances out of 3,582 traded on NSE, while 1,924 saw declines. As per Jainam, investor anxiety increased as hopes for a Middle East resolution faded following the expiration of the temporary US-Iran ceasefire, heightening concerns about renewed inflation.
