The Nifty witnessed a volatile session on Thursday, declining 34.55 points (0.14%) to settle at 24,196.75, reversing gains from the previous session's strong recovery. According to The Times of India, the index opened higher on strong global cues and touched an intraday high of 24,400 within the first 15 minutes of trade, but failed to sustain higher levels as profit booking emerged throughout the session. The index had surged more than 1% on Wednesday amid easing geopolitical tensions, with the Sensex closing at 78,111.24, up 1,263.67 points (1.64%). The sharp recovery comes as markets hope for de-escalation in the US-Iran conflict, with optimism building around potential second-round peace talks. The index has now staged a sharp pullback rally of nearly 2,100 points from its recent swing low of 22,182 within just eight trading sessions, highlighting improving risk appetite among market participants.
On the stock front, Hindalco emerged as the top gainer with a 2.82% surge, followed by Adani Enterprises at 2.77% and Trent at 2.65%. As reported by The Times of India, other notable gainers included Adani Ports SEZ (2.52%), Eternal (2.45%), Bharat Electronics (1.79%), Infosys (1.07%), and L&T (1.07%). However, banking and financial stocks faced selling pressure, with HDFC Bank declining 1.79%, ONGC falling 1.69%, and HDFC Life dropping 1.40%. Sectoral trends remained mixed with metals, IT, and consumer durables seeing buying interest, whereas auto, financial services, and oil & gas stocks ended in the red. Market breadth was exceptionally strong on Thursday, with 2,656 shares advancing compared to 351 declining on the National Stock Exchange, indicating broad-based buying interest.
The Nifty has achieved a significant technical milestone by decisively moving above its 50-day EMA, marking the first such crossover since February 23 and strengthening the short-term bullish undertone. According to technical analysis, the index is likely to extend its pullback rally and test the 24,400 level, followed by 24,550 in the short term. However, the latest session suggests consolidation within a healthy range after the recent sharp upmove. As per Angle One, the index approached a crucial supply zone in the 24,400–24,600 range, a confluence of resistance marked by key moving averages (50–89 EMA) and the 61.8% retracement of the recent decline from 26,000. The daily RSI has moved above the 55 mark and is on a rising trajectory, while the MACD histogram indicates a pickup in upward momentum. A decisive move above the 24,320–24,350 zone could trigger the next phase of the rally, while the 24,260–24,300 resistance band continues to act as a key hurdle.
The banking benchmark Bank Nifty has also remained firm and continued its pullback rally, surging 697 points (1.25%) to close at 56,302 on Thursday. From its recent swing low of 49,955, the index has delivered an impressive recovery of over 6,800 points within just eight trading sessions, underscoring strong buying interest in banking heavyweights. The index is currently trading comfortably above its 20-day and 50-day EMAs, with the 56,700–57,000 zone acting as the next crucial hurdle. A sustainable breakout above 56,800 is likely to extend the pullback rally toward 57,500, followed by 58,300 in the short term, while the 55,800–55,700 zone provides immediate support. The Bank Nifty has also moved above the 50 percent retracement level of its previous decline from its all-time high to the recent panic low, further reinforcing the positive bias.
Markets will closely track earnings, particularly Wipro's results, which showed muted revenue growth. As reported by CNBC TV18, the company reported Q4 constant currency revenue growth of 0.2% QoQ, below expectations of 0.4-0.5%, while FY26 marked a third consecutive year of decline in constant currency revenue growth. Its guidance of -2% to 0% was largely in line with estimates. Investors will also watch key earnings on Friday from companies such as Jio Financial Services and Bajaj Consumer Care. The broader market sentiment is being supported by hopes of de-escalation in the US-Iran conflict, with optimism around potential peace talks increasing the likelihood of continued market strength. However, the latest session suggests consolidation is likely to continue with the market's inability to hold gains indicating that investors remain cautious and are not yet willing to chase the rally aggressively.
