Oil Stocks Outlook
Seen down ; bearish views engulf market on continued war worries
This story was originally published at 19:45 IST on 24 April 2026
Register to read our real-time news.Informist, Friday, Apr. 24, 2026
MUMBAI – Constituents of the Nifty Oil & Gas index are projected to trade in the red next week, as the index saw a breakdown from an upward consolidation on the daily chart on Friday, according to technical analysts. "Surging oil prices, driven by supply concerns in the Strait of Hormuz, dampened investor sentiment. In India, a strong start to the week gave way to a late-week sell-off as geopolitical tensions weighed on the market," Shrikant Chouhan, head of equity research at Kotak Securities, said in a note.
Analysts have flagged elevated crude oil prices as a key concern for the sectoral index. As long as crude sustains over $100 a barrel, market sentiment is expected to be under pressure.
Friday, the Nifty Oil & Gas index closed 0.7% lower at 11331.70 points. The index snapped a three-week gaining streak to close in the red for the week, down 0.7%. However, it outperformed the benchmark Nifty 50 index, which closed 1.9% lower and the Nifty 200, which lost 1.5% during the week.
"Following a strong downtrend (on Friday), a brief pullback was seen, but selling pressure emerged near the 50-day SMA (simple-moving average), indicating weakness. On the RSI (relative strength index) front, a hidden bearish divergence suggests continuation of the prevailing downtrend," said Vatsal Bhuva, a technical and derivatives analyst at LKP Securities.
"Overall sentiment is expected to remain bearish in the short term. On the levels front, 11200 is likely to act as immediate support, while 11000 may serve as a positional support zone, with resistance placed around 11500," Bhuva said.
As many as six scrips part of the 15-stock sectoral index closed the week in the red. Indraprastha Gas Ltd. and Reliance Industries Ltd. were the top laggards, down 2.7?ch. GAIL (India) Ltd. was the top performer as it gained almost 5% this week. Shares of seven oil and gas companies part of the sectoral index gained less than 1% this week.
The ongoing war in West Asia has emerged as the key sore point for the market since Feb. 28, driven by surging crude oil prices. "WTI crude extended its rally, rising 2% to $97.75/bbl and posting a weekly gain of over 17%, driven by escalating geopolitical risk premiums. Prices have been underpinned by intensifying tensions in the Middle East, particularly after Iran's military activity in the Strait of Hormuz and the effective disruption of a critical chokepoint handling 20% of global oil and LNG (liquefied natural gas) flows," Kotak Neo said in a report.
Prices of NYMEX crude are expected to remain volatile and move in a wide range between $94 and $100 a barrel on fears of renewed military escalation in West Asia, ICICI Direct said. "Prices may rally on supply concerns as Iran maintained its blockade in response to US naval blockade of its own ports," the broking firm said.
TOP HEADLINES
* Chennai Petro Jan-Mar consol PAT rises 3-fold YoY to INR 14.22 billion
* Analyst Concall: Adani Green plans INR 400 bln-INR 420 bln capex in FY27
* Indian Energy Jan-Mar net profit rises nearly 11% on year to INR 1.24 bln
* Earnings Review: Adani Energy's Q4 sales up over 17%, PAT up 6% YoY
* Indian sailor on ship detained by Iranian forces is safe, says govt
* No proposal to hike petrol, diesel prices under consideration, oil min says
* Earnings Outlook: Coal India Q4 sales, PAT seen falling on weak demand
* Govt allows bio-jet fuel blending with aviation turbine fuel under new order
* Higher energy prices, input costs to widen India's trade deficit - Moody's
* Cancelled jack-up rig tender on potential collusive practice concerns - ONGC
* No material fincl, operational impact from fire at Rajasthan refinery - HPCL
* Oil India arm signs MoU with Numaligarh Refinery for renewable energy ops
* India's March natural gas imports up 20.5% on year; FY26 down 1%
* PRESS:US extends waiver to buy Russian oil already loaded on ships to May 16
* ACME Solar arm gets commissioning certificate for wind project in Gujarat
* NTPC Green JV arm commences 87.50 MW of solar power project in Rajasthan
* Crude oil plunges over 10?ter Iran declares Strait of Hormuz open
* Oil cos meeting domestic fuel demand adhering to govt norms, says official
* REUTERS: Indian refiners paying for Iranian oil in Chinese yuan via ICICI Bk
Following are the resistance and support levels for key oil stocks for next week as per calculations based on their prices on the National Stock Exchange:
| Company | Price | Week-on-week change in % |
Resistance | Support |
| Bharat Petroleum Corp | 308.10 | (-)1.30 | 316.90 | 295.70 |
| Hindustan Petroleum Corp | 373.50 | 0.70 | 380.60 | 365.20 |
| Indian Oil Corp | 143.47 | (-)1.70 | 146.70 | 141.30 |
| Oil & Natural Gas Corp | 284.80 | 0.30 | 290.70 | 280.90 |
| Oil India | 473.70 | 0.80 | 492.40 | 460.60 |
| Reliance Industries | 1,327.80 | (-)2.70 | 1,353.80 | 1,312.00 |
| Index | Levels | |||
| NIFTY OIL & GAS | 11331.70 | (-)0.70 | 11512.00 | 11203.10 |
| Nifty 50 | 23897.95 | (-)1.90 | 24364.90 | 23580.20 |
| S&P BSE Sensex | 76664.21 | (-)2.30 | 78233.30 | 75619.40 |
End
US$1 = INR 94.25
Reported by Anand JC
Edited by Tanima Banerjee
For users of real-time market data terminals, Informist news is available exclusively on the NSE Cogencis WorkStation.
Cogencis news is now Informist news. This follows the acquisition of Cogencis Information Services Ltd. by NSE Data & Analytics Ltd., a 100% subsidiary of the National Stock Exchange of India Ltd. As a part of the transaction, the news department of Cogencis has been sold to Informist Media Pvt. Ltd.
Informist Media Tel +91 (22) 6985-4000
Send comments to feedback@informistmedia.com
© Informist Media Pvt. Ltd. 2026. All rights reserved.
To read more please subscribe
Share this Story:
