Indian equity benchmarks Nifty50 and Sensex are expected to open cautiously on Thursday, May 8, 2026, as GIFT Nifty futures signal a negative start for the domestic market. Global uncertainties, particularly escalating geopolitical tensions in West Asia, continue to overshadow positive domestic earnings reports.
Global Headwinds Drive Caution
Renewed fighting between the US and Iran has pushed oil prices higher, with Brent crude futures reaching $101.47 a barrel. These global concerns, combined with persistent Foreign Institutional Investor (FII) outflows and a weakening Indian rupee, are dampening investor sentiment. Siddhartha Khemka, Head of Research at Motilal Oswal Financial Services, noted that the market is likely to remain sideways in the near term due to these global factors and a lack of clarity on West Asian settlement efforts.
International Market Performance
Asian stocks edged lower on Friday morning, following overnight trades, with KOSPI and Hang Seng dropping over one percent, and Nikkei also shedding nearly a percent. US stocks closed lower on Thursday, influenced by uncertainty around US-Iran peace talks. The S&P 500 fell 0.38%, the Nasdaq declined 0.13%, and the Dow Jones Industrial Average was down 0.63%.
FII-DII Activity and Technical Outlook
Provisional data from NSE indicates that Foreign Portfolio Investors (FPIs) were net sellers of domestic stocks on Thursday, divesting Rs 340.89 crore. Conversely, Domestic Institutional Investors (DIIs) acted as net buyers, injecting Rs 441.07 crore into the market.
Nifty50 and Sensex Levels to Watch
Technically, analysts observe indecisiveness in the Nifty50, with the index hovering between 24,300 and 24,480. Key support levels are identified at 24,300 and the 20-day Simple Moving Average (SMA) at 24,150. Resistance is projected between 24,480 and 24,575. A sustained move above 24,400 could lead to further upside towards 24,600 and 24,800.
The Sensex continues to consolidate after its recent recovery. Immediate support is seen in the 77,250–77,350 range, which is expected to act as a near-term demand area. Resistance is anticipated around 78,350–78,500, where profit booking may occur.
Nifty Bank Outlook
The Nifty Bank index ended above the 56,000 mark, forming a Doji candle on a daily scale, which suggests indecision. A crucial resistance zone is 56,400–56,500. A sustainable move above this level would be critical and could trigger a sharp upside rally, with immediate targets placed at 57,200, followed by 58,000 in the short term. On the downside, the range of 55,600–55,500 is likely to provide immediate support and act as a cushion against any short-term corrective moves.