The Nifty 50 index closed the week at 25,019, posting an impressive 1,000-point rally from the previous week’s close. The index made a high of 25,116 and a low of 24,378. The rally was driven by short covering and a surprise truce between India and Pakistan, which injected a wave of optimism into the market.
More importantly, Nifty broke out of the consolidation range of 23,200–24,600, closing strong above the psychologically significant 25,000 mark – a clear sign of bullish sentiment.
What to Expect Next Week (Outlook May 20–24)
Expected Range: 24,450 – 25,600
A breakout above 25,600 could open the doors for a retest of the all-time high (ATH) at 26,277.
As long as Nifty trades above 23,800, the broader trend remains intact.
Monthly Chart Patterns to Watch
A bullish "W" pattern could be forming, which ideally would require a pullback from current levels before resuming upward.
On the flip side, a bearish "M" pattern may emerge if the index tests ATH and faces rejection, which could trigger a sharp correction of 2,500–2,600 points.
For now, I remain cautious until the monthly time frame confirms a clear bullish breakout.
Global Markets Check: S&P 500 Eyes Key Resistance
The S&P 500 closed at 5,958, gaining 300 points week-on-week. As anticipated, a breakout above 5,770 propelled the index to meet all short-term targets of 5,821 / 5,850 / 5,900.
Key Level to Watch: 6,013
This is a major Fibonacci resistance — the same level where the market started correcting back on March 3, 2025.
A weekly close above 6,013 would be bullish, potentially triggering rallies toward 6,091 / 6,142 / 6,225.
However, a breakdown below this week’s low of 5,786 would confirm a failed breakout, with downside targets at 5,637 / 5,551 / 5,458.
Momentum traders, get ready – sharp moves are coming either way!
More importantly, Nifty broke out of the consolidation range of 23,200–24,600, closing strong above the psychologically significant 25,000 mark – a clear sign of bullish sentiment.
What to Expect Next Week (Outlook May 20–24)
Expected Range: 24,450 – 25,600
A breakout above 25,600 could open the doors for a retest of the all-time high (ATH) at 26,277.
As long as Nifty trades above 23,800, the broader trend remains intact.
Monthly Chart Patterns to Watch
A bullish "W" pattern could be forming, which ideally would require a pullback from current levels before resuming upward.
On the flip side, a bearish "M" pattern may emerge if the index tests ATH and faces rejection, which could trigger a sharp correction of 2,500–2,600 points.
For now, I remain cautious until the monthly time frame confirms a clear bullish breakout.
Global Markets Check: S&P 500 Eyes Key Resistance
The S&P 500 closed at 5,958, gaining 300 points week-on-week. As anticipated, a breakout above 5,770 propelled the index to meet all short-term targets of 5,821 / 5,850 / 5,900.
Key Level to Watch: 6,013
This is a major Fibonacci resistance — the same level where the market started correcting back on March 3, 2025.
A weekly close above 6,013 would be bullish, potentially triggering rallies toward 6,091 / 6,142 / 6,225.
However, a breakdown below this week’s low of 5,786 would confirm a failed breakout, with downside targets at 5,637 / 5,551 / 5,458.
Momentum traders, get ready – sharp moves are coming either way!
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.