Sudeep Shah, Head – Technical and Derivatives Research at SBI Securities
The benchmark index Nifty continued its northward trajectory, closing above the psychological 26000 level with a gain of 0.40%, reinforcing bullish sentiment in the market. Adding to the optimism, Bank Nifty broke out of its consolidation phase and scaled a fresh all-time high on Monday, signalling strength in the banking space.
Among Nifty constituents, Eternal and Tata Consumer emerged as the top gainers, while TMPV and UltraTech Cement were the major laggards. A key highlight of the session was that all sectoral indices ended in the green, underscoring broad-based buying. Nifty PSU Bank, Consumer Durables, and Private Bank indices led the charge, posting robust gains.
The broader market also mirrored this positive tone. Nifty Midcap 100 continued its upward journey, hitting a new all-time high, while Nifty Smallcap 100 closed with a healthy gain of 0.52%. Market breadth remained firmly positive, with the Advance/Decline ratio tilted in favour of advancers. From the Nifty 500 universe, 328 stocks ended higher, reflecting strong participation across segments.
Nifty View
Considering the current chart structure, the Nifty is likely to continue its northward journey and test the level of 26150, followed by 26300 in the short term. While on the downside, the support is shifted higher in the zone of 25900-25880 level.
Bank Nifty View
The Bank Nifty index has delivered a decisive breakout from its consolidation phase on the daily chart, signalling renewed strength in the banking space. This technical development suggests that the index is poised to extend its upward trajectory in the short term. Based on the current chart structure, Bank Nifty is likely to test 59500 initially, followed by the 59900 level.
On the downside, the support zone has shifted higher to 58700–58600, which is expected to act as a strong cushion for any pullback. The breakout aligns with the broader bullish sentiment in the market, as financials continue to lead the rally.
