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Indian equities ended marginally higher in a choppy trading session on September 8, with benchmark indices witnessing a volatile intraday trajectory. The Nifty 50 opened on a firm note, buoyed by improved global sentiment after former US President Donald Trump remarked on the “special relationship” between the US and India, downplaying geopolitical concerns. The index gained traction in early trade, scaling an intraday high of 24,885 in the second half of the session. However, profit-booking at higher levels capped the upside, leading the index to pare most of its gains and eventually settle at 24,773.15, up 32 points or 0.13% on the day.

Market participants are now turning their attention to upcoming inflation prints from both India and the US, which are expected to influence the US Federal Reserve’s monetary policy outlook. In its last policy meet, Fed Chair Jerome Powell signaled the possibility of a 25 basis point rate cut, a view that has gained traction following the release of a softer-than-expected US jobs report, further fuelling dovish expectations ahead of next week’s FOMC meeting. On the sectoral front, performance was mixed. Nifty Auto emerged as the top gainer, rallying 3.3% on the back of strong sectoral momentum. Nifty PSU Bank and Nifty Metal indices also closed in the green, adding 0.5% and 0.37%, respectively. Conversely, defensive sectors came under pressure, with Nifty IT declining 0.94%, Nifty Pharma shedding 0.27%, and Nifty FMCG easing by 0.21%.

Nifty Outlook

The index formed a small bear candle with an upper shadow indicating ongoing consolidation amid stock-specific action. Index is likely to extend its range-bound movement, extending the consolidation phase observed over the past two weeks. The broader trading range is expected to remain between 24,400 and 25,000 in the near term. Immediate support is identified at Friday’s low of 24,620. As long as the index holds above this level, a pullback towards the 25,000 mark remains likely. However, a break below 24,620 could trigger further downside, dragging the index toward the crucial support zone of 24,400–24,300. Key support area of 24,400-24,300 is the confluence of the recent swing lows and the 200-day EMA, making it an important level to monitor. Overall, the index is likely to remain in a consolidation phase with a focus on stock-specific moves.

 Bank nifty Outlook

 Bank Nifty formed a high wave candle with a small real body and shadows in either direction highlighting intraday volatility. The index continues to hover around the 200-day EMA, which is acting as a pivotal zone. In the near term, the index is expected to remain range-bound between 53,500 and 55,000, suggesting a consolidation phase before any directional breakout. On the upside, the 54,800–55,000 zone remains a significant supply zone, marked by the confluence of the prior breakdown area and the 100-day EMA. This region is likely to act as a strong overhead resistance. On the downside, immediate support is placed at 53,500–53,300, which coincides with the 200-day EMA and the swing low of May 2025.

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