The Indian equity markets concluded the trading week on a positive note, with the benchmark Nifty 50 index putting an end to a four-session decline. The index closed decisively at 25,966, firmly reclaiming the psychologically important 25,900 zone. This resurgence was fueled by widespread buying activity across various sectors.
Drivers Behind the Market Rebound
The recovery was supported by two key factors. Firstly, the Indian rupee staged a sharp recovery from its record lows against the US Dollar. Secondly, foreign portfolio investors (FPIs) returned to the market, turning net buyers over the last two trading sessions. While robust domestic liquidity has consistently provided a cushion against steeper declines, the renewed interest from foreign funds is now seen as a potential trigger for the market's next upward move, enhancing overall risk sentiment.
Technical Outlook: Key Levels for Nifty and Bank Nifty
Vaishali Parekh, Vice President of Technical Research at Prabhudas Lilladher, noted that market sentiment improved as the Nifty 50 rebounded strongly from its 50-day exponential moving average (50-DEMA) support, situated near 25,750. She identified the immediate hurdle for the index in the 26,000-26,050 range.
"The Nifty 50 index continues to gain strength, sustaining above the important 50-DEMA level," Parekh stated. "A decisive close above the 26,050-26,200 zone would establish further stability and conviction for upward movement." She placed immediate support at 25,800 and resistance at 26,100.
Regarding the Bank Nifty, which gained 156 points to close near 59,000, Parekh said the index has its 50-DEMA support at 58,351. She added that a clear break above the 59,500 level would improve the bias for further gains. The daily range for Bank Nifty is expected between 58,500 and 59,500.
Intraday Stock Picks from an Expert
For traders looking at opportunities on Monday, Vaishali Parekh recommended three stocks for intraday trading:
- Syrma SGS Technology: Buy at ₹730, target ₹758, stop loss ₹714.
- Belrise Industries: Buy at ₹162.30, target ₹172, stop loss ₹158.
- Torrent Power: Buy at ₹1279, target ₹1335, stop loss ₹1255.
Disclaimer: This information is for educational purposes only. The views and recommendations are those of the analyst. Investors are advised to consult certified experts before making any investment decisions.
