The benchmark equity indices had another range-bound session on Thursday, and settled little changed. With Q1 earnings season pacing up and uncertain global cues, analysts expect stock specific action to dominate and market indecision to persist.
"Indian equities are expected to trade sideways to mixed amid weak global cues and ongoing geopolitical tensions in West Asia. With the Q1FY27 earnings season gathering pace, stock-specific action is likely to dominate," said Siddhartha Khemka Head of Research, Wealth Management at Motilal Oswal Financial Services
He added that IT sector will be in focus after earnings announcements from Wipro and Tech Mahindra. Wipro posted a muted quarter, with profit declining over 4%, while TechM's profit jumped over 8% but failed to meet D-street expectations.
Accordingly, 23,960-23,930 is likely to provide immediate support for the Nifty. A sustained breach below the 23,930 mark could trigger further profit booking and drag the index towards the 23,780 level, which is expected to act as the next crucial support zone.
On the upside, the 24,160-24,200 range remains a key resistance area. A decisive move above this hurdle could improve market sentiment and pave the way for a stronger upward move, as per Sudeep Shah, Head of Technical and Derivatives Research at SBI Securities.
"Until then, the index is likely to witness range-bound trading," he added.
Nifty Bank
The Bank Nifty index underperformed the frontline indices on Thursday, and has formed a bearish candle on the technical charts.
Therefore, the 57,100-57,000 zone will remain a key support area for the index and the 58,100-58,200 zone is expected to act as a crucial resistance area for the index.
Market Recap
Indian equity benchmarks ended little changed on Thursday as losses in HDFC Bank and Eternal offset gains in Bajaj Finance and M&M. The Nifty 50 declined 5.75 points, or 0.02%, to close at 24,072.75. The Sensex ended 1.44 points higher at 77,186.87.
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