Stock Market Technical Analysis | 1st to 5th June 2026 Weekly Wrap

Indian equities remained under pressure amid volatile trading conditions, with Nifty ending lower for the week. Despite continued FII selling, banking stocks displayed resilience while volatility eased further.

Expert recommendation by:

• Mr. Ketan Kaushik - Derivative Analyst

Equity

• Benchmark Index traded volatile in the previous week before closing with 0.77% cut at 23367 level. Banking Index outperformed the benchmark index as it closed with 0.47% gain at 54496 level.
• Among the Nifty constituents, TITAN and ADANIENT outperformed the benchmark index as they closed with 4.55% and 3.77% gains while NTPC and ULTRACEMCO underperformed as they closed with 6.53% and 4.96% cut respectively. Among the Bank Nifty constituents FEDERALBNK outperformed the benchmark index as it closed with 5.26% gain while BANKBARODA underperformed the benchmark index as it closed with 1.79% cut.
• Among sectors, NIFTYMEDIA index outperformed the benchmark index during the previous week as it closed with 6.65% gain while NIFTYFMCG index underperformed as it closed with 2.19% cut. MIDCAP index underperformed the benchmark index as it closed with 1.57% cut while SMALLCAP index performed better than the benchmark index as it closed with 0.16% cut.
• Volatility index (India VIX) closed with 2.46% cut at 15.78 level.
• FII were net sellers as they sold stocks worth Rs 31,115 Cr while DII were net buyers as they bought stocks worth Rs 33,933 Cr during the previous week in the cash segment.
• Globally, equity markets traded with negative bias as both US market (DJIA) and European market (STOXX 600) closed with 0.32% and 0.53% cut respectively.

Derivatives

• Derivatives data for Nifty suggest max OI addition at 24000 call and 23050 put side with max OI at 24000 call and 22500 put side (9th Jun expiry). Nifty cumulative PCR closed at 0.83 for Jun 05.
• Derivatives data for Bank-nifty suggest max OI addition at 59000 call and 52500 put side with max OI at 60000 call and 54000 put side (30th Jun expiry).
• Bank-nifty cumulative PCR closed at 0.87 for Jun 05.

💡Want to understand how derivatives drive these market swings?  
Master the basics of stock market derivatives here.

Performance:

Indices

Source: NSE

Sector Gainers/Losers

Source: NSE

FII / DII ACTIVITY (WEEKLY)

Source: NSE

SUPPORT/RESISTANCE LEVEL FOR UPCOMING WEEK

Source: NSE

DAILY EXPONENTIAL MOVING AVERAGE

Source: NSE

TECHNICAL OUTLOOK

NIFTY (WEEKLY)

• Benchmark index traded volatile in the previous week before closing with bearish candlestick formation on the weekly chart
• Benchmark index is likely to continue with volatile price action in the coming week
• Benchmark Index has support at 22,600–22,300 level and resistance at 23,800–24,100 level

BANKNIFTY (WEEKLY)

• Banking index outperformed the benchmark and closed with indecisive candlestick formation on the weekly chart
• Banking index is likely to perform in line the Benchmark index in the coming week
• Banking index has support at 52,700-52,200 and resistance at 55,700 -56,200 level

FINNIFTY (WEEKLY)

• FINNIFTY index underperformed the banking index and closed with indecisive candlestick formation on the weekly chart
• FINNIFTY is likely to trade in line with the banking index in the coming week
• FINNIFTY has support at 24,200-24,000 level and resistance at 25,600-25,800 level.

Turn insights into action — invest in Index ETFs and Derivatives now.  
Open your MNCL Demat Account today!

Market FAQs – Weekly Summary

Why did Nifty decline during the week?

Continued FII selling, weakness in select heavyweight stocks, and cautious global sentiment contributed to Nifty's decline.

Why did Bank Nifty outperform Nifty?

Strength in select private and mid-sized banking stocks helped Bank Nifty post gains despite broader market weakness.

Which sector performed best last week?

Nifty Media was the top-performing sector, gaining 6.65% during the week.

Which sector underperformed the most?

Nifty FMCG was the weakest sector, declining 2.19% amid profit booking and defensive sector weakness.

What does the fall in India VIX indicate?

A decline in India VIX suggests lower expected volatility and improved short-term market stability.

What does Nifty PCR of 0.83 indicate?

A PCR below 1 indicates cautious sentiment, with traders maintaining relatively higher call positions.

What are the key Nifty support and resistance levels?

Options data indicates strong support near 22,500–23,000 and resistance around 24,000.

How did FIIs and DIIs participate during the week?

FIIs sold equities worth ₹31,115 crore, while DIIs bought equities worth ₹33,933 crore.

How are global markets influencing Indian equities?

Weakness in US and European markets created cautious sentiment across global risk assets.

What should traders monitor next week?

Investors should track derivatives positioning, FII flows, global market trends, and volatility indicators.

Before You Trade, Strengthen Your Foundations with These Guides

• For a stronger understanding of indicators such as RSI, VWAP, and trendlines, check our 👉 Technical Analysis Fundamentals section.
• Want to refine your risk-reward planning? Explore our insights on 👉 Position Sizing & Risk Management Strategies.
• Track weekly trends and movement using
  👉 Gift Nifty Live Dashboard
  👉 Gift Nifty Today Analysis
  👉 How to Trade Gift Nifty
  👉 Gift Nifty Trading Hours
• Learn how to interpret derivatives data for better trading decisions. 👉 Advanced Trading Strategies