Indian markets ended higher on Friday, with the Nifty advancing 64 points (0.27%) to settle at 23,719 and the BSE Sensex climbing 231.99 points (0.31%) to close at 75,415.35. According to The Economic Times, the volatility gauge India VIX ended at 17.91, up by 0.49% from the previous closing. However, the index continued its alternating pattern for the seventh consecutive session, posting gains after a prior decline. The Nifty opened with a 17-point uptick and extended gains by 164 points during the first half of the session, but profit booking emerged in the latter half, leading to an intraday correction of 135 points from the day's high. NSE cash market turnover declined by 7% compared to the previous session, indicating reduced trading activity.
As reported by The Economic Times, the broader market structure reflects similar consolidation patterns, with market breadth weakening notably and momentum largely restricted to selective stocks while broader participation remains muted. According to Shah's analysis, this narrowing participation often becomes the foundation for the market's next meaningful directional move. The 23850–23900 zone is expected to act as a strong hurdle on the upside, while the 23400–23350 zone is likely to provide immediate support on the downside. The index has once again failed to sustain above the key resistance level of 23,800, with immediate support placed near 23,400, coinciding with an upward sloping trendline connecting recent higher lows. A decisive close above 23,800 could pave the way for a pullback towards the 50-day EMA, currently positioned around 24,006.
According to The Economic Times, among the heavyweight stocks, Shriram Finance, Axis Bank, and ICICI Bank led the gains, while Max Healthcare, Sun Pharma, and ONGC were the primary laggards. Sectoral performance remained mixed, with Nifty Private Bank, Financial Services, and Metal indices outperforming, whereas Healthcare, Media, and IT sectors lagged. The Nifty Midcap 100 index edged up by 0.14%, while the Nifty Smallcap 100 declined by 0.15%. Market breadth remained positive for the fourth straight session, with the BSE advance-decline ratio at 1.12, indicating continued buying interest in mid- and small-cap stocks. The IT sector has emerged as the top weekly performer with Nifty IT index gaining nearly 5%, though Shah considers this a short-term phenomenon rather than long-term structural shift.
According to Shah's assessment reported by The Economic Times, Bank Nifty continues to trade below its key moving averages despite minor retracement, with the daily RSI indicating a sideways trend. The 53200–53000 zone is expected to act as strong support for the index, while the 20-day EMA zone of 54350–54500 will serve as crucial resistance. A sustained move above the 54500 level could pave the way for further upside, with the index likely to test the 50-day EMA at 55270. The overall setup suggests a lack of strong triggers, as both moving averages and momentum indicators are pointing towards a sideways trend.
On the currency front, the Indian rupee extended its gains for the second consecutive session, appreciating by 51 paise to close at 95.69 against the US dollar. This recovery is largely attributed to the Reserve Bank of India's active intervention following its USD/INR buy-sell swap announcement, along with easing geopolitical tensions that have softened imported commodity prices. The technical outlook suggests that Nifty continues to exhibit a choppy trend with the index failing to sustain above key resistance levels, indicating that the next breakout from this tightening range could determine whether the market enters a fresh trending phase or slips into another round of volatility.
