The Indian equity benchmarks ended the day on a bullish note on Monday, supported by stable crude oil prices and strong business updates by heavyweight banks and financials ahead of the Q1 FY27 earnings season. Analysts expect the positive momentum to continue.
"Technical indicators also continue to support the bullish outlook. The daily RSI has moved above the 60 mark and remains in an upward trajectory, indicating strengthening momentum," said Sudeep Shah, Head of Technical and Derivatives Research at SBI Securities.
Accordingly, the 24,570–24,600 zone is expected to act as the next crucial resistance area for Nifty, as the previous swing high is positioned around these levels. On the flipside, the support base has shifted higher and is now placed in the 24,300–24,280 zone.
"As long as the index sustains above this support band, the positive momentum is likely to remain intact, and any dip towards these levels could attract buying interest," Shah pointed out.
ALSO READ: Cochin Shipyard OFS: Govt To Sell Up To 5.04% Stake In Defence PSU; Floor Price At Rs 1,400/Share
Going ahead, the upcoming June-quarter earnings season will be closely tracked by invcestors, with corporate results and management commentary expected to drive stock-specific action and influence the market's near-term direction, according to Gaurav Garg, research analyst at Lemonn Markets Desk.
"With attractive valuations and resilient domestic macro indicators supporting the market, stock- and sector-specific action is likely to increase as the earnings season unfolds," echoed Siddhartha Khemka Head of Research, Wealth Management at Motilal Oswal Financial Services.
Nifty Bank
The Bank Nifty index also ended with gains and is expected to continue its rally moving forward aided by technical factors.
Therefore, 58,700–58,800 zone is likely to act as a key resistance area, as the previous swing high is placed in this region. A decisive and sustained breakout above 58,800 could lead to an upmove towards 59400, followed by the psychologically important 60000 mark in the near-term.
On the flipside, immediate support is placed in the 57,800–57,700 zone.
"As long as the index holds above this support band, the broader bullish trend is expected to remain intact, and any corrective decline towards these levels may offer buying opportunities," said Shah from SBI securities.
Market Recap
Indian equity benchmarks extended gains for the fourth consecutive trading session. The NSE Nifty 50 closed 159.50 points, or 0.66%, higher at 24,430.35, while the BSE Sensex gained 521.16 points, or 0.67%, to end at 78,285.07.
Essential Business Intelligence, Sharp Market Insights, Practical Personal Finance Advice, Daily Fuel, Gold and Silver Prices and Latest Stories — On NDTV Profit.