Despite opening on a weak note, the index quickly recovered from early volatility as buying interest strengthened through the session.
Sustained gains in heavyweight IT stocks helped the benchmark maintain higher levels and finish with solid gains.
The rally follows Wednesday’s rebound from the 23,800 support zone, bringing the Nifty closer to the upper end of its broader 23,800-24,200 trading range. A decisive move above this range could determine the market’s next direction.
Among the index heavyweights, Infosys and Tech Mahindra were the top gainers, while Max Healthcare and Larsen & Toubro ended among the biggest losers.
Sectorally, all major indices closed in positive territory except Nifty PSU Bank. Nifty IT and Nifty Realty emerged as the strongest performers during the session.
The broader market also remained firm. Both the Nifty Midcap 100 and Nifty Smallcap 100 ended higher, with the Smallcap index outperforming the benchmark by rising 1.25%, reflecting continued risk appetite among investors.
Market participants will now look to global cues and technical levels for further direction. Positive global sentiment, coupled with easing concerns around inflation, is expected to support domestic equities in the near term.
What do the charts indicate?
The Nifty has now closed decisively above its 100-day moving average, located near the 24,110 mark, a development that technical analysts view as constructive for the near-term trend.
Nagaraj Shetti of HDFC Securities said the underlying trend remains positive despite the broader range-bound movement.
According to him, a sustained move above the 24,200-24,250 zone could trigger a quick rally towards 24,500-24,600, while immediate support is seen at 24,000.
Nilesh Jain of Centrum Finverse also expects the bullish momentum to continue as long as the Nifty holds above the psychological support of 24,000. He sees potential upside towards 24,300, followed by 24,500.
LKP Securities’ Rupak De said the index has broken out of its recent consolidation phase and is trading above key moving averages, reinforcing the positive bias. He expects the Nifty to advance towards the 24,300-24,500 zone, although a break below 24,000 could push the index back into consolidation.
According to Hitesh Rathi of Angel One, the 24,100-24,050 region, which previously acted as resistance, is now expected to provide immediate support. A stronger support zone is placed between 23,850 and 23,800.
On the upside, Rathi sees immediate resistance in the 24,220-24,250 range, followed by a stronger hurdle between 24,450 and 24,500. He advised traders to wait for a decisive breakout above resistance or below support before taking fresh positions.
