On May 16, 2025, the Indian stock market is expected to open higher, continuing the bullish momentum from the previous day. Both the Nifty 50 and Sensex closed significantly higher on Thursday, with the Nifty 50 surpassing the 25,000 mark for the first time since October 2024.
Market Performance on May 15, 2025
The NSE Nifty 50 ended the day at 25,062.10, a gain of 395.20 points or 1.60%. The BSE Sensex closed at 82,530.74, up by 1,200.18 points or 1.48%. This surge was largely driven by gains in Reliance Industries, HDFC Bank, and ICICI Bank. All sectoral indices ended in the green, with Nifty Realty leading with gains of 1.9%.
Foreign portfolio investors (FIIs) were net buyers for the second consecutive session, with purchases of equities worth Rs 5,392.94 crore, the highest since April 24. Domestic institutional investors (DIIs), however, turned net sellers, offloading equities worth Rs 1,668.47 crore.
Global and Domestic Cues
The trends on Gift Nifty also indicate a positive start for the Indian benchmark index. At 6:30 AM, GIFT Nifty futures were trading 141 points higher at 25,220, suggesting a gap-up opening for the Indian indices.
Global cues are mixed. Asian markets displayed a mixed performance on Friday. Japan's Nikkei edged down 0.5 per cent, while the broader Topix index slipped 0.2 per cent. This follows data showing that Japan's economy shrank 0.2 per cent quarter-on-quarter for the first quarter of the year. Elsewhere, Australia's ASX 200 advanced 0.8per cent, while Kospi was flat with a positive bias. On Wall Street, the S&P 500 climbed for a fourth straight session, gaining 0.41 per cent.
Expert Opinions and Technical Analysis
Shrikant Chouhan, Head of Equity Research at Kotak Securities, noted that the Nifty and Sensex successfully cleared the 25,000/82,500 mark and managed to close above it, which is largely positive. He also pointed out a bullish candle on the daily charts and an uptrend continuation formation on the intraday charts, indicating a further uptrend from the current levels. He suggests that buying on intraday corrections and selling on rallies would be an ideal strategy for day traders.
Rupak De, Senior Technical Analyst at LKP Securities, mentioned that the immediate resistance for Nifty 50 is at 25,360. If Nifty crosses this resistance, it may rally further. On the downside, 24,400 will act as strong support.
Nagaraj Shetti, Senior Technical Research Analyst at HDFC Securities, observed a long bull candle formation on the Nifty 50 chart, signaling a sharp upside breakout after a consolidation movement. He added that the Nifty trend continues to be positive, with the next upside levels to watch around 25,250 and 25,500 in the near term. Immediate support is at 24,800.
Trading Strategy and Key Levels
For May 16, 2025, key support levels for the Nifty 50 are identified at 24,900 and 24,750, while key resistance levels are at 25,210–25,300. A sustained breakout above the 25,300 levels will open further upside towards 25,750 in the coming weeks.
Stocks in Focus
Several companies are expected to be in focus due to their fourth-quarter results, including Abbott India Ltd., JSW Energy Ltd., LT Foods Ltd., Godrej Industries Ltd., and Godfrey Phillips Ltd.
Overall Market Sentiment
The overall market sentiment is positive, with experts suggesting that the Nifty may move towards 25,200 in the short term. The cooling VIX indicates a soothing of tensions and less panic in the market.
