Indian equity markets ended the week on a positive note, supported by gains in banking and technology stocks amid optimism surrounding possible progress in US-Iran peace negotiations.
The BSE Sensex closed 232 points higher at 75,415, while the NSE Nifty 50 advanced 65 points to settle at 23,719 on Friday. Despite ending in the green, benchmark indices gave up a part of their intraday gains amid caution over rising crude oil prices and continued foreign fund outflows.
Domestic equities continue to remain range-bound, with strong buying support from domestic institutional investors (DIIs) helping cushion downside pressure, while persistent selling by foreign institutional investors (FIIs) continues to cap any sharp upside move.
Global crude oil benchmark Brent crude climbed 2.3% to trade around $104.7 per barrel as geopolitical tensions and uncertainty surrounding the US-Iran negotiations kept energy markets volatile.
On Friday, benchmark indices traded higher through most of the session but failed to sustain stronger intraday momentum toward the close. Meanwhile, the Indian rupee staged a sharp recovery against the US dollar. The domestic currency appreciated more than 40 paise to close at a one-week high of 95.68 compared with the previous session’s close of 96.20.
Stock Market Outlook
Levels to watch out for: 23,850 – 24,600 / 23,300 – 23,100
Mehul Kothari, Deputy Vice President — Technical Research at Anand Rathi, noted that the Indian stock market witnessed a range-bound yet volatile week, with the Nifty 50 largely oscillating between the 23,300–23,850 zone amid global uncertainties, elevated crude oil prices, and continued weakness in the rupee. For most of the week, benchmark indices traded cautiously, reflecting subdued sentiment and lack of strong directional cues.
However, Friday’s session brought a sharp recovery as the Nifty surged strongly after touching highs near 23,850 before finally closing around 23,718, while the Sensex also witnessed a strong rebound. The recovery was largely driven by easing crude oil prices, supportive global cues, and optimism surrounding potential progress in US-Iran peace talks.
Overall, the week ended on a relatively stable note with improved sentiment in the final session, although the broader market undertone continued to remain cautious.
Last week, the Nifty largely oscillated between the 23,850–23,300 range, indicating continued volatility and a lack of strong directional momentum. However, despite multiple bouts of weakness, the index managed to hold above the crucial 23,300 support zone, which is a positive sign from a structural perspective.
“We continue to maintain our stance that a decisive breakout and sustained move above 23,850 could mark the beginning of the next major rally and gradually pave the way towards fresh highs in the coming months. However, the move is unlikely to be one-sided, as the market is expected to face multiple hurdles on the upside. The immediate resistance is placed near 24,200, followed by the crucial zones around 24,600 and eventually the psychological 25,000 mark. On the downside, the broader structure still remains stable unless the index slips below the important 23,100 support zone, which continues to act as the maximum downside level for the current setup,” predicted the expert.
Overall, traders are advised to maintain an optimistic yet stock-specific approach, as selective sectors and quality setups are expected to outperform even amid market volatility, he advised.
In line with our earlier view, the BANK NIFTY index witnessed sharp volatility and precisely filled the important gap support near the 52,800 zone, which also coincided with the crucial 61.8% Fibonacci retracement level. The index has managed to stabilize and consolidate near these levels, indicating that buying interest is gradually emerging from lower zones.
“Going ahead, the key hurdle for the banking index continues to remain near 54,500. A decisive breakout and sustained move above this resistance could trigger a strong rally in the banking space and significantly improve overall market sentiment in the coming weeks. In fact, we believe that once 54,500 is convincingly crossed,
BANK NIFTY has the potential to outperform the broader markets, with the index likely heading towards the 56,000–58,000 zone in the coming weeks, supported by strength in heavyweight private banking names and improving momentum structure. Overall, the broader setup remains constructive as long as the index continues to hold above the crucial 52,800–53,200 support zone,” stated Kothari.
Mehul Kothari’s stock recommendations today under ₹200
Regarding stocks to buy under ₹200, Mehul Kothari recommended these three short-term picks: Yes Bank, Punjab National Bank, and Bandhan Bank.
1] Yes Bank: Buy near ₹21.50, Target ₹23.50, Stop Loss ₹20.50;
2] Punjab National Bank: Buy near ₹102, Target ₹110, Stop Loss ₹98; and
3] Bandhan Bank: Buy only above ₹194, Target ₹208, Stop Loss ₹187.
Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.
