StockEdge Morning Market Report | Thursday, 2 April 2026

Nifty 50 closed at 22,679.40 — up 348 points (+1.56%), yesterdays price action to be read more negative than the positive. Inspite of a strong gap up opening , the index couldn’t sustain and closed near the low. Market breadth was positive , and we saw some meaningful pullback action in cash stocks. The Microcap index and the Small cap index were up 5 and 4% respectively.
FII’s continued to sell around 8331 crs. Gift Nifty currently is 500 points down indicating again a gap down. Crude is up at $104.

Nifty
The April 1 session – markets made a fool’s day – where an opening gap up and then closed near the low. The index was not able to cross any resistance and the bears took over. Previous low of 22300 to act as immediate support which if broken the index can test 22000 / 21750. Today's close is crucial as we have an extended weekend and will mark the weekly close – giving insights of the upcoming week. Given the overall oversold technical setup – we can expect this to be the last leg of the fall. However will wait for price action to confirm.

Bank Nifty
Bank Nifty made a doji candle. There was volatility seen and intraday opening and close was nearly same. 51100 acts as the 1st support while strong support is at 50100. We may see the markets to test this level. How the index behaves near the previous swing low is what we want to wait and watch.

Conclusion
Yesterday’s rebound was not a rebound as markets couldn’t sustain. Given the oversold indicators The key test today: how is the index going to close – will the close be below the recent swing low or not? Keep positions light, let the chart confirm.