Nifty 50 Outlook for 2 November 2026
We witnessed a continuation of the short-term uptrend in NIFTY 50, and it is expected to continue for some more days, considering the formation. So far, the up move looks corrective in nature, and the upside remains limited to 23500 and 23800, which are still far from current levels. The direction remains upwards, and buying trades with higher lows as stop losses remain profitable in such circumstances. Even though the index closed above the 20-day EMA and is now expected to open above the 50-day EMA, prices are still trading with negative crossovers between their major EMAs. The sustained move above these EMAs, resulting in positive crossovers between them, would change the larger trend to upwards; however, the index prices have to show a lot of resilience in order to make that happen, and it’s a time-consuming process.
As far as the derivatives positioning is concerned, aggressive long buildup along with short covering was seen for another trading session continuously. This could result in further short covering from the traders.
Key Resistances: 23230 and 23370
Key Supports: 22980 and 22870
Strategy: Although, the index is expected to open with a gap up, we would still like to buy Nifty (Spot level) only on dips around 22970 with a stop-loss of 22870, targeting 23120.
ADITYA THUKRAL, PROPRIETOR, AT RESEARCH AND RISK MANAGERS
SEBI Registered Research Analyst INH000013794