Market Wrap

Indian equities extended gains for yet another session, with the Nifty 50 ending 0.37% higher, firmly above the 25,400 mark. The index opened gap-up on strong global cues but saw intraday profit booking that capped upside momentum. Pharma stocks continued to shine, emerging as the clear outperformers, while other sectors faced mild selling pressure. Globally, the US Fed’s dovish rate cut boosted sentiment, though Wall Street ended mixed. Asian and European peers also traded in the green, mirroring optimism. Domestically, the government’s announcement of fresh PLI disbursements for electronics and battery makers buoyed manufacturing-linked themes, while easing crude oil prices provided relief to aviation and paint companies.

What's Ahead

Nifty’s ability to hold above the 25,400 mark will be pivotal for a potential move toward 25,600–25,700. Sector leadership is expected to remain with pharma and autos, though traders should remain watchful of global cues. The Bank of England’s upcoming policy decision and India’s mid-month GST collection data could act as key triggers, shaping foreign inflows and sectoral momentum in the near term.

Market Snapshots

Institiutional Activity

Sectoral Performance

Technical Outlook

Nifty 50

The Nifty 50 closed at 25,423.6, up 0.37% or 93.35 points, supported by a healthy advance-decline ratio of 33:16. Gains in ETERNAL, HDFC Life, and Infosys added momentum, while Tata Consumer, Trent, and Bajaj Finance dragged on the index. The session was marked by a narrow range of just 119 points as the index opened strong, traded sideways for most of the day, and ended steady near its highs. Sentiment was buoyed by the U.S. Fed’s 25 bps rate cut to 4–4.25%, which raised hopes of higher liquidity. Near-term support lies at 25,184 and 25,035, while resistance levels are at 25,663 and 25,812. Sustaining above 25,400 could open the door for further upside.

Bank Nifty

The Bank Nifty settled 234.15 points higher at 55,727.45, advancing 0.42%, with gains led by HDFC Bank, Axis Bank, and Kotak Bank. The index showed mixed breadth as PSU banks like SBI, PNB, and Canara Bank weighed on sentiment, while AU Bank and Bank of Baroda provided upside support. After a strong start, the index slipped intraday but recovered sharply to end near the session’s high, reflecting resilience. RSI climbed above 60, its highest level in three months, signaling strengthening momentum. Key supports are placed at 55,191 and 54,859, while resistance levels are at 56,264 and 56,596.

Sensex

The Sensex advanced 320.25 points, or 0.39%, to finish at 83,013.96, with 22 of 30 constituents posting gains. ETERNAL, Sun Pharma, and Infosys led the charge, supported by strength in HDFC Bank and ICICI Bank, while Tata Motors and Trent emerged as the top laggards. The overall trend remained firmly positive, with buying interest evident across large caps. Near-term support stands at 82,238 and 81,758, while resistance is pegged at 83,790 and 84,270, suggesting further upward potential if the index sustains above 83,000.

FINNIFTY

The Nifty Financial Services index gained 135.1 points, or 0.51%, to close at 26,698.65, backed by strength in HDFC Bank, HDFC Life, and ICICI Prudential Life, which together make up a significant share of the index. Despite pressure from Bajaj Finance and SBI, market breadth remained strongly positive, with 17 of 20 constituents advancing. The index’s move signals continued accumulation in financial heavyweights. Supports are positioned at 26,412 and 26,128, while resistance is seen at 26,975 and 27,251, keeping the near-term bias tilted upward.