Market outlook suggests continued bullishness in Nifty and Bank Nifty

The Nifty index soared to a record high in Thursday's session, closing at 26,216.05, up by 211.90 points or 0.81%. The bullish momentum is expected to continue as long as the index remains above the crucial intraday support level of 26,100.

The session began with the Nifty opening flat at 26,005.40. It gradually climbed throughout the day, reaching an intraday high of 26,250.90 before settling at its record closing. All sectors exhibited positive sentiment, with notable gains in the auto, metal, PSU banks, and FMCG sectors.

Despite this, the market breadth was negative, with 1,006 stocks advancing, 1,608 declining, and 111 remaining unchanged. Top gainers for the day included Maruti, Grasim, Tata Motors, and Shriram Finance, while Cipla, ONGC, Larsen & Toubro, and Hero MotoCorp were among the losers.

Technically, momentum indicators maintain a positive outlook, with Nifty trading comfortably above its short-term and long-term moving averages. The formation of a white candle on the daily chart signals further bullishness. As long as the index holds above 26,100, upside movement toward 26,400 and 27,000 is likely. However, if the support breaks, a short-term correction could follow.

Key levels for Nifty

• Intraday support: 26,200, 26,100, 25,900
• Intraday resistance: 26,300, 26,400-26,500 (15-minute charts)
• Positional trading support: 25,850 - 25,350
• Positional trading resistance: 26,400 - 27,000

Bank Nifty hits record high 

Bank Nifty surged to a new record high, closing at 54,375.35 with a gain of 273.70 points. Technically, momentum indicators point to continued bullishness, with the index comfortably above both short-term and long-term moving averages. The formation of a white candle on the daily chart reinforces the strong uptrend.

Immediate resistance is seen at 54,500, while intraday support stands at 54,200. A break above the 54,500 resistance could trigger further gains, while failure to do so may lead to a brief consolidation below support.

Key levels for Bank Nifty

• Intraday support: 54,200, 54,000, 53,800
• Intraday resistance: 54,400, 54,600, 54,800 (15-minute charts)
• Positional trading support: 53,400 - 52,100
• Positional trading resistance: 54,500 - 55,600

The Nifty technical outlook suggests continued bullishness in both Nifty and Bank Nifty, but traders should stay cautious around key support levels to manage potential downside risk.