Buy or Sell: The Nifty 50 ended the week on a strong note, gaining 1.36% to close at 25,709, supported by positive global cues and optimism surrounding the Trump administration’s plans to hold and meet further tariff-related discussions with Prime Minister Modi.
Broader markets also witnessed healthy participation, with several key indices advancing between 1–3%. Among sectors, Realty led the rally with a robust 2.5% gain, while FMCG, telecom, and financial stocks added around 2% each, reflecting broad-based strength across sectors.
Technical Analysis
On the technical front, Nifty broke above the key 25,600 resistance level for the first time in a long period and sustained comfortably above this crucial psychological mark on a weekly basis, closing near the next resistance zone of 26,000.
The index had earlier established a strong base near 24,300–24,400, coinciding with the 200-day EMA and the 38.2% Fibonacci retracement level, thereby reinforcing its bullish foundation.
Throughout the week, it consistently traded above 25,000–25,300, tested resistance near 25,600, and successfully closed above it at 25,709. Fresh support for the index is now placed at 25,400–25,600, while resistance remains at 26,000 and 26,500 levels.
Nifty Outlook
Nifty is expected to trade within the new range of 25,400–26,000 in the coming week, with a decisive move above 26,000 likely to trigger the next leg higher toward 26,500.
As per derivatives data, the highest Call open interest is concentrated at the 26,000 strike, followed by the 26,500 level, indicating potential resistance zones. On the Put side, the highest open interest stands at the 25,000 strike, followed by 25,500, suggesting strong support levels for the index.
Bank Nifty Outlook
The Bank Nifty also maintained its bullish momentum, closing above the 57,000 mark and recording a fresh 52-week high at 57,713. The index continues to find strong support in the 56,500–57,000 zone, with resistance seen at 58,500–59,000 levels.
Both PSU and private banks contributed positively to its uptrend, reflecting strength across the banking space.
Overall, the market sentiment remains constructive, with sustained momentum likely if Nifty holds above 25,600 and Bank Nifty maintains strength above 57,000.
Traders are advised to follow a disciplined “buy-on-dips” strategy in selective stocks while closely monitoring global developments and geopolitical cues for further directional clarity.
Stocks to Buy this week
1. Steel Authority of India Ltd (SAIL): Buy at ₹126-130; Target at ₹140; Stop loss at ₹121.
2. Reliance Industries Ltd (RELIANCE): Buy at ₹1,400-1,420; Target at ₹1,480; Stop loss at ₹1,360.
3. Tata Elxsi Ltd (TATAELXSI): Buy at ₹5,350-5,380; Target at ₹5,600; Stop loss at ₹5,300.
Disclaimer: This story is for educational purposes only. 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.
