The NSE Nifty 50 ended Thursday's session with a gain of 131 points, extending its positive momentum for the second consecutive day to close at 24,750.90.
Despite touching an intraday high near 24,900, the Nifty faced selling pressure from elevated levels, leading to a partial retracement.
Aditya Gaggar, director of Progressive Shares, said the index formed a small-bodied bullish candle with long shadows on the daily chart, signalling volatility and indecision but a positive bias.
He underlined 24,500 as a key support zone, while resistance is seen near 24,800, with a significant hurdle around 25,000. Gaggar noted the market is pricing in a 25-basis-point rate cut in Friday's Reserve Bank of India monetary policy, which could act as a directional catalyst.
Shrikant Chouhan, head of equity research at Kotak Securities, pointed to the 20-day simple moving average at 24,700 as a critical breakout level. He warned that failure to clear this resistance may keep the index range-bound, with fresh selling likely if it slips below 24,450. In that scenario, the Nifty could test 24,320–24,300 in the near term.
Bajaj Broking observed strong breadth in mid-cap and small-cap stocks, driven by rotational flows and improving risk appetite. It also noted easing volatility, with the India VIX cooling by nearly 5%.
Looking ahead, Sameet Chavan, head of research at Angel One, said the breach of the 20-day exponential moving average and the critical Fibonacci retracement zone has shifted the bias to the downside. He identified the bullish gap between 24,380 and 24,170 as the next line of defence. Chavan added that a decisive move above 24,700–24,800 could reset market sentiment and help regain bullish momentum.
Market action is expected to remain range-bound on Friday as traders focus on these key levels, along with broader cues from the upcoming RBI policy announcement and any geopolitical developments.
Market Recap
The benchmark equity indices closed higher on Thursday, extending their winning streak to two sessions after snapping a three-day losing streak on Wednesday. The NSE Nifty 50 gained 130.7 points or 0.53% to settle at 24,750.9, while the BSE Sensex rose 443.79 points or 0.55% to close at 81,442.04.
Currency Update
The Indian rupee closed 11 paise stronger at 85.80 against the US dollar on Thursday, recovering from Wednesday's close of 85.91.
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