The GIFT Nifty indicated a flat start for Indian benchmark indices, with the Nifty50 opening 11 points higher. However, the index soon came under selling pressure, falling sharply in the first 30 minutes of trade. The bulls then staged a strong recovery, with the Nifty rebounding more than 100 points from the day's low by the end of the first half.
However, the recovery failed to sustain, and the index subsequently gave up nearly 75 points from the day's high in the latter half of the session. The index remained volatile and range-bound through the day, eventually closing at 24,583, up 13 points or 0.05%.
Among Nifty50 constituents, Titan, Tata Consumer Products and Bajaj Finance were the top gainers, while SBI, Eternal and ITC were the biggest laggards. Sectoral performance was mixed, with Realty, Private Banks and Consumer Durables emerging as the top-performing sectors.
PSU Banks, Oil & Gas and Healthcare ended among the biggest losers. Broader markets also delivered a mixed performance. The Nifty Midcap 100 rose 0.62%, while the Nifty Smallcap 100 declined 0.27%. Nifty outlookMarket momentum is likely to remain constructive this week, with the final leg of the Q1FY27 earnings season expected to drive stock-specific moves as well as broader market action.
As the earnings season tapers off, investors are likely to shift focus towards the sustainability of the earnings recovery and emerging sectoral trends. Developments around US-Iran negotiations, crude oil prices and US inflation data will also remain key drivers of market direction and global risk appetite, said Siddhartha Khemka of Motilal Oswal.
Nagaraj Shetti of HDFC Securities said the Nifty is likely to remain positive as long as it sustains above the previous breakout support zone of 24,300-24,400. He expects any further weakness to provide a buying opportunity, while a decisive breakout above 24,775 could trigger a sharp near-term upmove.
Sudeep Shah of SBI Securities said the 24,750-24,800 zone will remain a crucial hurdle for the index. A sustained breakout above 24,800 could pave the way for an upmove towards 24,950, followed by 25,100. On the downside, 24,450-24,420 is expected to provide immediate support.
Osho Krishan of Angel One expects the 24,500-24,450 zone to provide immediate support and cushion any downside pressure. The 20-DEMA, placed around 24,340, is likely to act as a crucial positional support. On the upside, 24,650-24,700 remains a key resistance zone, where the index faced strong rejection last week.
Technically, the Nifty continues to oscillate between its 200-day SMA at 24,758 and 200-day EMA at 24,384. The primary trend remains bullish, with the index trading above its 20-, 50-, 100- and 200-day DEMAs, said Nandish Shah of HDFC Securities. Shah said a decisive breakout above the 200-day SMA or a breakdown below the 200-day EMA is likely to determine the index’s next directional move.
According to Rupak De of LKP Securities, the Nifty remained volatile within a narrow range, with the near- to short-term trend remaining sideways to positive as the index continues to hold above its critical short-term 50-EMA. De said 24,650 remains a key resistance level, with a decisive move above it potentially triggering a sustained rally.
On the downside, support is placed at 24,500, below which weakness could intensify. Until then, he expects the index to remain range-bound with lacklustre movement.