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Below the Quote on Post market comment for Wednesday May 20 by Sachin Gupta, VP- Technical Research at Choice Broking

Indian equity benchmark Nifty index witnessed a positive close on 20^th May 2026. The index opened with a gap-down of 160.75 points at 23,457.25, reflecting weak sentiment at the start of the session. The selling pressure in the opening minutes dragged the index to an intraday low of 23,397.30. However, strong buying interest emerged from lower levels thereafter, helping the index recover steadily throughout the day. The recovery momentum remained intact through the session as the index filled the morning gap-down and climbed to an intraday high of 23,690.90. The index eventually settled at 23,659.00, ending the day with a gain of 41 points or 0.17%. On the daily timeframe, the index formed a bullish candlestick pattern after recovering sharply from lower levels and filling the opening gap-down. The formation indicates buying strength emerging at lower levels and improving short-term sentiment in the market.

From a technical perspective, immediate support is placed in the 23,350–23,400 zone, while resistance is observed in the 23,900–23,950 range. The Relative Strength Index (RSI) stands at 45.64, indicating gradual improvement in momentum though the index still trades below the stronger bullish zone. The volatility index, India VIX, declined by 1.26% to close at 18.44, indicating slight easing in market volatility and improving stability in broader sentiment. In the derivatives segment, notable call writing was observed at the 23,700 and 23,800 strikes, while put writing was concentrated at the 23,600 and 23,500 levels, indicating immediate support shifting higher with resistance near upper levels.

Sectorally, the market witnessed mixed performance across sectors. Strength was visible in Oil & Gas, Metals, PSU Banks, Financial Services, and Realty stocks, while weakness persisted in Media, FMCG, IT, Chemicals, and Consumption-related sectors. Market breadth remained slightly positive overall, with advancing stocks marginally outnumbering declining stocks, indicating selective buying interest in the broader market.

The Bank Nifty index opened with a gap-down of 393.45 points at 53,015.70, reflecting weakness in the banking space at the start of the session. The index registered its intraday low of 52,836.10 within the opening minutes amid initial selling pressure. However, buying interest emerged strongly from lower levels thereafter, helping the index recover steadily throughout the session. The recovery momentum pushed the index to an intraday high of 53,640.90 after filling the morning gap-down. The index eventually settled at 53,562.20, ending the session with a gain of 153.05 points or 0.29%. On the daily timeframe, Bank Nifty formed a bullish candlestick pattern, indicating buying support emerging from lower levels. The recovery from intraday lows and closing near the day’s high reflects strengthening momentum in the banking index.

From a technical perspective, immediate support is placed in the 52,800–52,900 zone, while resistance is observed in the 54,250–54,350 range. The Relative Strength Index (RSI) stands at 41.29, indicating weak-to-neutral momentum though signs of recovery are gradually emerging from lower levels.

Markets witnessed another volatile session with both benchmark indices opening sharply lower amid weak global and domestic sentiment. However, strong buying interest from lower levels helped the indices recover significantly during the session and erase most of the opening losses. The recovery in benchmark indices along with a decline in volatility indicates improving confidence among market participants, though broader participation remained selective. Going forward, sustained movement above immediate resistance zones will remain crucial for confirming stronger recovery momentum in the market.

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