The Indian equity benchmarks ended nearly flat on Tuesday as the NSE Nifty 50 managed to hold onto a four-session winning streak despite a lack of follow-through buying at higher levels.
The Nifty failed to sustain a brief move above the 26,200 mark, signalling consolidation near the resistance, according to Amruta Shinde, technical and derivative analyst at Choice Broking.
The Nifty formed a "high wave candle" on the daily chart, indicating a consolidation with a positive bias. Rajesh Bhosale, equity technical analyst at Angel One, said the index repeatedly defended the 25,700 to 25,950 zone, which aligns with the 50-double exponential moving average and the 20-DEMA.
Bajaj Broking Research points to the upper band of the preceding three-week consolidation range near 26,300. A decisive close above this level is essential to unlock further upside toward 26,500. Angel One identifies immediate resistance levels at 26,200, followed by 26,300.
Immediate support is positioned around Monday's gap-up zone near 26,000, according to Bajaj Broking. Angel One places deeper pivotal support at 25,700, which coincides with the 50-DEMA.
Volatility eased further as the India VIX dropped 3.07% to 9.377 and Rajesh Bhosale recommended a "buy-on-dips" approach rather than chasing momentum, noting that the primary trend remains positive despite recent choppy price action.
Bank Nifty Outlook
The Bank Nifty remained range-bound between 59,200 and 59,400, suggesting indecisiveness following recent gains.
Bajaj Broking expects the index to continue consolidating and forming a base in the 58,500–60,100 range.
Immediate resistance is placed at 59,500–59,600 by Choice Broking. Bajaj Broking adds that a move above last week's high of 59,533 will open the path toward the all-time high of 60,100. Key support is placed at 58,300–58,600, representing the confluence of the 50-day EMA and the recent breakout area.
Market Recap
The Nifty 50 extended its upward trajectory for the fourth consecutive session. The Nifty 50 edged up 4.75 points or 0.02% to settle at 26,177.15, while the Sensex slipped 42.64 points or 0.05% to close at 85,524.84.
Market breadth remained positive with 2,146 advancing stocks against 1,725 declines. While headline indices remained flat, the Smallcap index posted modest gains of 0.37%.
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