Market Wrap

Indian equities ended with modest gains after a volatile session, as the Nifty50 closed just below the 25,600 mark, up 0.32%. The index opened firm and extended gains intraday, supported by strength in IT and select consumption stocks, but late volatility pared part of the upside. Sectoral trends were mixed, with IT emerging as the clear outperformer, showing a technically strong setup that points to continued leadership ahead. Global sentiment remained supportive, as major Asian and European indices posted gains, aided by easing yields and a mild risk-on tone. On the domestic front, traders tracked multiple catalysts - including the second phase of the Bihar elections (with exit polls due post-market), weekly F&O expiry positioning, and fresh bullish commentary from global brokerages. Notably, Goldman Sachs maintained its overweight stance on India with a long-term Nifty target of 29,000 by end-2026, pegging near-term support at 25,400–25,440 and resistance at 25,680–25,760.

What's Ahead

Volatility is expected to stay high as markets digest the Bihar exit poll results and weekly derivatives expiry impact. Traders should prepare for sharp intraday swings and manage exposure around key event-driven zones. Directionally, sustained strength above 25,760–25,800 could set the stage for an advance toward the mid-25,000s, while a breakdown below 25,400–25,440 may trigger profit-taking toward lower supports. FII flows, US macro data, and global risk cues will remain key drivers. For investors, staying selective in quality IT and consumption names with strong earnings visibility is advisable, while traders should maintain tight risk controls amid heightened short-term volatility.

Market Snapshots

Volatility is expected to stay high as markets digest the Bihar exit poll results and weekly derivatives expiry impact. Traders should prepare for sharp intraday swings and manage exposure around key event-driven zones. Directionally, sustained strength above 25,760–25,800 could set the stage for an advance toward the mid-25,000s, while a breakdown below 25,400–25,440 may trigger profit-taking toward lower supports. FII flows, US macro data, and global risk cues will remain key drivers. For investors, staying selective in quality IT and consumption names with strong earnings visibility is advisable, while traders should maintain tight risk controls amid heightened short-term volatility.

Institiutional Activity

Sectoral Performance

Technical Outlook

Nifty 50

The Nifty 50 index gained 82 points to close at 25,574.35 (+0.32%), staging a mild rebound after three sessions of weakness. The upmove was led by strength in IT heavyweights such as Infosys (+2.59%) and HCL Tech (+1.82%), along with buying in Bajaj Finance and select banking majors like HDFC Bank and ICICI Bank. The market breadth leaned positive, with 32 advances against 18 declines, indicating selective accumulation. Despite the bounce, resistance at higher levels capped the upside, weighed by notable drags such as Trent (-7.42%) and Tata Consumer. The index’s RSI near 50 reflects a neutral momentum phase, suggesting consolidation rather than trend strength. Near-term support lies at 25,385/25,270, while resistance is seen at 25,756/25,871 — a breakout above the latter could open room for a short-term rally.

Bank Nifty

The Bank Nifty added just 60.75 points (+0.10%) to close at 57,937.55, marking a range-bound session. Gains in ICICI Bank and HDFC Bank offered stability, but weakness in Axis Bank and SBI kept the sector’s tone muted. The index traded within a narrow band through the day, highlighting indecisive sentiment among traders. With the RSI hovering near 60, momentum remains moderately bullish but lacks conviction. The immediate support zone is placed at 57,603/57,395, while resistance is seen at 58,273/58,480. Sustained movement above 58,500 could invite fresh buying interest, but failure to hold 57,600 may lead to short-term weakness.

Sensex

The Sensex advanced 319 points (+0.38%) to close at 83,535.35, supported primarily by IT majors Infosys and HCL Tech, both of which posted solid gains. Broader participation remained moderate, with 18 of 30 constituents in the green. Weakness in Trent (-7.41%), Power Grid, and Eternal limited overall upside, keeping the tone measured. The index remains comfortably above key short-term supports at 82,936/82,554, while resistance is placed at 84,172/84,555. A break above 84,200 could revive bullish momentum, while failure to sustain above 83,000 may invite mild profit booking.

FINNIFTY

The Nifty Financial Services Index (FINNIFTY) rose 66.30 points (+0.24%) to close at 27,305.05, marking another session of steady buying in non-bank financials. Gains in Cholamandalam Finance (+2.99%), Muthoot Finance (+2.94%), and Bajaj Finance (+1.88%) were key contributors. However, losses in major lenders like Axis Bank (-0.60%) and SBI (-0.55%) capped further upside. The overall breadth was positive, with 12 of 20 constituents advancing. Technically, the index is holding above short-term supports at 27,086/26,954, with resistance zones at 27,511/27,642. A breakout above 27,650 could trigger a continuation rally, while a dip below 27,000 may turn the near-term structure corrective.