The Nifty 50 index started the week with a decline, continuing its downward trend for the seventh consecutive session as of November 18. The index reached a new low for the past five months, showing a cautious market outlook with a pattern of lower tops and lower bottoms.

Analysts predict that the index may reach the 23,200 level, which aligns with the 50-week Exponential Moving Average and the second target of a Head and Shoulders pattern. Resistance is expected in the range of 23,600–23,800. Although the Nifty 50 initially rose to 23,605, it was unable to sustain its gains and closed at 23,454, down 79 points, forming a bearish candlestick pattern. The index has been trading below the 200-day moving average for two sessions, and the Relative Strength Index has entered oversold territory at 28.6. While selling pressure seems to have eased, the overall market sentiment remains bearish.

There is a possibility of short-term recovery towards the range of 23,700–23,800, with support identified at 23,200–23,300, according to Rupak De, Senior Technical Analyst at LKP Securities.