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Below the Post market comment by Mandar Bhojane, Research Analyst, Choice Broking

On October 28, Indian equity markets rebounded strongly, ending a five-day losing streak, with the Nifty inching closer to 24,500 intraday. Buying interest was seen across sectors, particularly in banking and metal stocks. At the close, the Sensex gained 602.75 points, or 0.76%, to settle at 80,005.04, while the Nifty rose by 158.35 points, or 0.65%, finishing at 24,339.15.

On the daily chart, the Nifty index exhibited sideways movement, forming a Doji candle near the 24,339 level, indicating market indecision as buyers and sellers exerted equal pressure. This Doji pattern suggests a pause in the prevailing trend, signaling potential consolidation before a breakout in either direction.

Despite the day’s gains, the broader trend remains bearish. A failure to sustain above 24,400 could bring additional selling pressure, targeting the 24,200–24,000 range. Resistance is expected around the 24,600–24,750 zone, where selling pressure may reemerge. A "sell-on-rise" strategy is recommended, with stop-losses set above these resistance levels. Traders are advised to avoid long positions unless the index breaks decisively above 25,000, as further downside risks remain. In this volatile environment, caution and stringent risk management are crucial.

All sectoral indices ended in positive territory, with the PSU Bank index up by 3.8%, the Metal index adding 2.5%, and the pharma, media, and realty sectors rising by over 1% each. The BSE midcap index increased by 0.7%, while the smallcap index gained 1%.

The India VIX declined by 2.34% to 14.29, indicating reduced market volatility and a short-term cooling of investor anxiety. Open Interest (OI) data shows the highest OI on the call side at the 24,500 and 24,800 strike prices, marking these as strong resistance levels. On the put side, OI concentration at the 24,000 and 23,800 strike prices highlights these as key support levels.

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