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Nifty :25299

Technical Outlook

Day that was ..

Indian equity benchmarks consolidated their recent gains in a volatile, rangebound session before ending marginally higher on Thursday at 25,300. Broader markets significantly outperformed the frontline benchmarks, keeping overall market breadth firmly in favour of advances with the Midcap gaining 0.85% & the Smallcap rallying 1.12%. On the sectoral front, Realty led the charge alongside PSU Bank and Media. Conversely, Auto, FMCG lagged.

Technical Outlook :

• On the daily chart, the Nifty traded entirely within the previous session's high–low range (25,095–25,424), forming a classic inside bar candle. This price action signals healthy consolidation and digestion of recent gains rather than any structural weakness.

• The Nifty has rallied over 3,100 points in last fourteen days and is hovering near the 80% retracement level of the entire decline seen off the January 2026 peak of 26,373. Crucially, over the past 14 sessions, the index has not closed below a previous session's low, keeping its northbound trajectory intact toward the immediate milestone of 25,500.

• With the recent sharp vertical up-move, daily and weekly stochastic oscillators remain in overbought territory, suggesting a couple of days of breather at higher levels cannot be ruled out which would make market healthy.

• On the downside, the 24,500–24,600 zone acts as immediate support, followed by a major technical cushion near 24,300, marking the November 5 bullish gap (23,960–24,296).

• Key drivers supporting constructive bias

• Banking stocks remain the primary engine of this rally. Bank Nifty jumped 1.19% today to close at 61,518.50, bringing it within roughly 220 points (less than 0.4%) of its all-time record high of 61,764 set in February 2026. Given the financial sector's ~37% weightage in the Nifty, sustained momentum in private and PSU banks continues to anchor the broader market.

• The Nifty arrested its eight-week corrective phase by defending its longterm 200-week EMA near the 22,180–22,182 lows, confirming a doublebottom reversal pattern and executing a decisive breakout.

• Over the past two to three weeks, the benchmark has completely retraced its prior 12-week decline (from 24,774 to 22,180), signaling a strong structural shift in trend.

• After lagging global peers during the AI-driven tech rally, Indian equities are benefiting from global capital rotation out of AI stocks.

• Participation across the Nifty 500 universe has expanded sharply, with the proportion of stocks trading above their 50-day SMA climbing from 10% two weeks ago to 54%.

• Lower crude oil prices, cooling US bond yields, and ongoing Q2 FY27 earnings continue to shape sentiment. Any intraday dips or short-term pullbacks toward support levels should be viewed as incremental opportunities to accumulate high-quality, earnings-backed stocks.

• Intraday Rational :

• Trend – Formation of higher high low signifies positive bias

• Levels – Sell around last 2 days high

Nifty Bank : 61518

Technical Outlook

Day that was :

Bank Nifty ended the day on a positive note, up 1.18% at 61518 levels. Meanwhile, the Nifty PSU Bank continued its relatively outperformance by gaining 1.5% for the day.

Technical Outlook :

• Index started the day on a flat note and continued to move northward as intraday declines were bought into. As a result, daily price action formed a bull candle, with higher high higher low indicating positive bias.

• The formation of higher high-low makes us reiterate our positive stance and going ahead ,sustenance above 61700 levels which is February 2026 high (on closing basis) will lead Index to head towards 63000 in coming sessions. Overall bias remains positive until and unless Index closes below previous session low. Price parity of Apr-June26 rally comes around 63000 levels.

• Only a breach below previous session low (60723) will lead to breather in coming sessions. Stochastic Oscillator is in overbought condition (placed at 95). Consequently, a couple of days breather at higher levels cannot be entirely ruled out which would make market healthy

• On the downside, support is placed at 60400 levels being gap-area formed on 11th November(60376-59740)

• Nifty PSU Bank Index has formed strong bull candle with higher high higher low and sustaining above August breakout area indicating uptrend intact. Going ahead we expect it to head towards 9500 levels being 80% retracement of entire decline.(9918-7809).

• Intraday Rational :

• Trend - Robust recovery from key support of 53800 confirms strong support zone

• Levels : Sell around last 2 days high .

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