Trade Set-up for January 9: After a sharp sell-off in the previous session, the Indian stock market is expected to open cautiously on Friday, January 9, amid mixed signals from Asian markets.

However, early indications from Gift Nifty suggested a positive start to the day, with the index trading at 26,002.5—up around 35 points, or 0.13%, from its previous close.

“ With both the Nifty and Bank Nifty holding key support levels but encountering stiff overhead resistance, market sentiment remains cautious amid elevated geopolitical tensions, renewed tariff-related concerns, and continued foreign portfolio outflows. Against this backdrop, the broader market is likely to open flat to range-bound, tracking mixed cues from global markets,” said Ponmudi R, CEO of Enrich Money.

On Thursday, both benchmark indices, the Sensex and the Nifty, witnessed a steep and broad-based decline, mirroring weak global market cues. The Sensex recorded its sharpest single-day percentage fall in more than four months, while the Nifty 50 slipped below the 25,900 level.

Intense selling pressure dragged the 30-share Sensex down by 780 points, or 0.92%, to settle at 84,180.96. As per Capitalmarket data, this was the index’s largest one-day drop since August 26, 2025, when it had fallen 1.04%.

Here’s what to expect from Sensex, Nifty 50, and Bank Nifty today:

Sensex Prediction

The Sensex witnessed sharp intraday volatility on 08 Jan 2026 and ended the session on a weak note, reflecting sustained selling pressure and cautious sentiment at higher levels.

According to Aakash Shah, Research Analyst, Choice Equity Broking Private Limited, the index faced repeated rejection near the 85,000 zone, leading to a bearish daily candle, which signals loss of momentum and continuation of short-term consolidation.

” Selling pressure was broad-based, with IT, metals, and PSU stocks emerging as key laggards, while only a handful of defensive stocks managed to post marginal gains.

On the downside, the 83,600–83,700 zone is expected to act as an important support and potential accumulation area, while immediate resistance is placed near 84,600–84,700. As long as the Sensex remains below resistance, the bias stays cautious, with volatility likely to persist in the near term,” Shah said.

Nifty 50 Prediction

Ponmudi R, CEO of Enrich Money, believes that the Nifty 50 continues to display short-term bearish momentum, with the index closing below 25,900, confirming a breakdown from the 26,000 consolidation zone.

” The formation of a large bearish candle reflects sustained corrective pressure. However, the broader weekly and monthly trend structure remains intact above 25,700, indicating a corrective phase rather than a structural breakdown. Immediate support is placed in the 25,800–25,700 zone, a key demand area where a hold could lead to a technical rebound. A decisive breach of this zone may accelerate downside toward 25,400–25,300.

On the upside, the 26,000 level now acts as immediate resistance, coinciding with the breakdown retest zone. This is followed by the 26,050–26,150 band near the 20-day EMA, which needs to be reclaimed to restore near-term stability. Momentum indicators remain under pressure, with RSI near 44 and trending lower, while MACD stays bearish with an expanding negative histogram. Short-term moving averages remain broken, reinforcing a neutral-to-bearish trade bias for the day with expectations of range-bound volatility,” said Ponmudi.

Bank Nifty

Bank Nifty remains in a short-term corrective phase but continues to show relative resilience compared to the broader market. Despite recent selling, the index successfully defended its lower support levels. Immediate support is seen at 59,500, a critical demand zone, according to Ponmudi.

“On the upside, 60,000 remains the psychological barrier, with resistance placed in the 60,300–60,500 zone. Technical indicators are neutral to mildly bearish, with oscillators issuing sell signals but not entering oversold territory. As long as 59,500 holds, the broader structure remains constructive. A breakdown below this level could open further downside toward 59,000–58,700. Recent volatility appears largely driven by headline-led reactions, with geopolitical developments and tariff related concerns triggering short-term panic rather than a fundamental shift in the banking sector’s outlook,” Ponmudi added.

Disclaimer: This story is for educational purposes only. The views and recommendations above are those of individual analysts or broking companies, not Mint. We advise investors to check with certified experts before making any investment decisions.