According to Rupak De, Senior Technical Analyst at LKP Securities, market sentiment has weakened further as the index slipped below the 50 EMA on the intraday chart. He also noted that the RSI has entered a bearish crossover on the daily chart, indicating slowing momentum. He said strong call writing around the 24,200 level points to continued pressure. If the Nifty stays below 24,200 on Monday, the index may decline further towards the 24,050“24,000 range. However, a move above 24,200 could lead to a short-term recovery towards 24,350“24,400.
1. Q4 earnings
Most Nifty companies have already declared their fourth-quarter results, but earnings-related movement is likely to continue in the broader market. More than 480 companies listed on the BSE are expected to announce their January-March quarter results over the next six days.
Among Nifty firms, key earnings will come from Tata Motors Passenger Vehicles (TMPV), Dr Reddy’s Laboratories, Bharti Airtel, Cipla, Tata Steel, Power Grid Corporation of India and Bajaj Finserv.
Other companies scheduled to announce results include Tata Motors, PVR Inox, Tata Power, Nazara Technologies, SAIL, MTAR Technologies, Canara Bank, Fractal Analytics and Indian Hotels Company (IHCL).
2. Iran-Israel conflict
Tensions between the United States and Iran continue, with little progress towards a lasting resolution despite a fragile ceasefire. Fresh attacks were reported as both sides continued hostilities, while a US intelligence report suggested that Iran could withstand a naval blockade for a long period.
Recent days have seen some of the heaviest clashes around the Strait of Hormuz since the ceasefire began last month. Fresh strikes targeting the United Arab Emirates on Friday highlighted the continuing instability in the region.
Meanwhile, the US is awaiting Iran’s response to a proposed framework aimed at formally ending the conflict before wider talks begin on issues such as Tehran’s nuclear programme. US Secretary of State Marco Rubio said in Rome that Washington expected a response later that day, although Iranian officials said they were still reviewing the proposal.
3. US markets
Wall Street indices closed higher on Friday, supported by gains in chipmaker stocks, which helped offset concerns over rising US-Iran tensions. Better-than-expected employment data in the US also boosted market confidence.
The Dow Jones ended marginally higher at 49,609.16, up 12.19 points or 0.02%. The S&P 500 gained 61.82 points, or 0.84%, to close at 7,398.93, while the Nasdaq Composite jumped 440.88 points, or 1.71%, to end at 26,247.08.
4. Crude oil
Global crude oil prices are expected to remain a key factor influencing Indian markets.
US WTI crude futures settled at $94.68 per barrel on Friday, down 0.14%, while Brent crude rose 0.19% to close at $101.29 per barrel.
5. FII and DII activity
Foreign institutional investors (FIIs) remained heavy sellers during the week, selling Indian equities worth Rs 11,072 crore over the five trading sessions ending Friday. Total foreign outflows in May have now reached Rs 14,231 crore, taking the overall outflow for 2026 to Rs 2.06 lakh crore.
On Friday alone, FIIs sold shares worth Rs 4,110.60 crore, while domestic institutional investors (DIIs) purchased equities worth Rs 6,748.13 crore.
6. Technical indicators
Dr Ravi Singh, Chief Research Officer at Master Capital Services, said the Nifty has managed to hold above both the 21-day EMA and the 50-day EMA, indicating that the recovery trend remains intact despite FII selling and market volatility.
He said that as long as the index stays above the 24,000 mark, a “buy on dips” approach may continue to work. The 24,500 level remains a major resistance zone, but a sustained breakout above it could push the market towards 24,800. He added that the market is likely to remain in a consolidation-to-positive phase within the 24,000“24,500 range.
7. Rupee against the dollar
The Indian rupee strengthened this week due to hopes of a possible US-Iran peace agreement, although renewed tensions continued to affect the outlook for Asian currencies.
The rupee weakened 0.2% from the previous close, while one-month implied volatility for the dollar-rupee pair rose to 5.7%, its highest level since mid-April.
A trader at a foreign bank said support for the dollar-rupee pair continued to emerge near the 94.40 level, while state-run banks were active around 94.70.
The rupee briefly weakened close to 94.70 per dollar before recovering to end the session at 94.40, gaining 0.4% for the week.
8. Stocks in focus
Several stocks are expected to remain active due to corporate actions such as dividends, bonus issues, stock splits and amalgamations.
Stocks trading ex-dividend in the coming days include State Bank of India (SBI), Manappuram Finance, Premier Energies, Oberoi Realty, Anand Rathi Wealth, Aptus Value Housing Finance India and Indian Energy Exchange (IEX).
Record dates for bonus issues are scheduled for Aptus Pharma, Biogen Pharmachem Industries and Dev Labtech Venture. Shares of Dev Labtech Venture will trade ex-split on May 15, while Gujarat State Petronet has fixed May 12 as the record date for its amalgamation.
