The Indian stock market is expected to open flat on Thursday, June 5, 2025, tracking mixed cues from global markets.
Global Market Cues
Overnight, U.S. markets showed signs of uncertainty. While major indices fluctuated, U.S. Treasury yields declined, signaling caution among investors ahead of key economic data and central bank announcements. Asian markets closed firmly in the green, with the Nikkei rising 0.8% and the Hang Seng up 0.6%. European indices also traded higher in mid-session, and U.S. futures showed modest gains, reflecting continued global investor confidence.
Gift Nifty
Trends on the Gift Nifty also indicate a muted start for the Indian benchmark index. The Gift Nifty was trading around the 24,740 level, a premium of nearly 11 points from the Nifty futures' previous close.
Market Performance on June 4, 2025
On Wednesday, June 4, the domestic equity market indices ended higher, snapping their three-day losing streak. The Sensex rose 260.74 points, or 0.32%, to close at 80,998.25, and the Nifty 50 settled 77.70 points, or 0.32%, higher at 24,620.20. About 2017 shares advanced, while 1835 shares declined, and 141 shares remained unchanged.
Nifty 50 Prediction
Nifty 50 witnessed a modest upside bounce on June 4 and closed the day higher by 77 points amidst range movement. According to Nagaraj Shetti, Senior Technical Research Analyst at HDFC Securities, a reasonable bullish candle was formed on the daily chart on Wednesday, placed beside the long bear candle of the previous session, indicating an attempt at an upside bounce in the market. Nifty 50 is currently placed within a broader high low range of 24,500 - 25,000 levels and is currently in an attempt of upside bounce from near the lower end of the range. He believes that the underlying trend of Nifty 50 remains choppy, and further upside above the hurdle of 24,850 levels could bring bulls back into action. Immediate support is placed at 24,500 levels.
Nandish Shah, Deputy Vice President at HDFC Securities, said that the Nifty 50 index closed below its 20-day EMA for the second consecutive session. However, Nifty managed to hold its level above the previous swing low of 24,462 registered on May 22, 2025. On the upside, a swing high of 24,845 would offer resistance, while 24,500 is likely to act as strong support.
Sensex Prediction
Sensex is still trading below the 20-day SMA (Simple Moving Average) of 81,300, which is largely negative. According to Shrikant Chouhan, Head – Equity Research, Kotak Securities, the current market structure is non-directional, and the intraday formation indicating range-bound activity is likely to continue in the near future. For traders, the key levels to watch are 80,500 and 81,300. A move above the 20-day SMA or 81,300 could see the Sensex rallying toward 81,500 - 81,800. Conversely, a dismissal of 80,500 could accelerate selling pressure, with the index potentially slipping to 80,100 - 80,000.
Key Levels to Watch
RBI Monetary Policy Committee (MPC) Meeting
The market is also awaiting the outcome of the ongoing RBI Monetary Policy Committee (MPC) meeting, with many expecting a possible interest rate cut. The policy announcement and subsequent commentary are expected on Friday, which is likely to influence market movement.
IPO Market
SEBI has approved six upcoming IPOs, including major offerings from HDB Financial Services and Vikram Solar, marking a strong revival in India's primary markets.
Trading Strategy
Kotak Securities' Shrikant Chouhan is of the view that the current market structure is non-directional. The intraday formation indicating range-bound activity is likely to continue in the near future. Traders should remain cautious and avoid aggressive longs unless the index shows strength above 81,312.
