The Nifty decisively closed above the key psychological level of 24,000. Sentiment remained positive, aided by softer crude oil prices amid rising expectations of a potential US-Iran truce.
On a weekly basis, the Nifty snapped a six-week losing streak, surging 5.89% — its strongest weekly gain since February 5, 2021.
Among index movers, Asian Paints, Eicher Motors, and Bajaj Auto led the gains, while Coal India, Sun Pharma, and Infosys ended as top losers.
Sectorally, all indices closed in the green except IT. Auto, Realty, and Financial Services led the rally.
Broader markets outperformed benchmarks, with the Nifty Midcap 100 and Smallcap 100 rising 1.52% and 1.65%, respectively.
The Indian rupee weakened for a second straight session but still logged a second consecutive weekly gain. The currency has shown resilience amid the unwinding of speculative positions ahead of the RBI’s deadline for position limits.
Friday’s weakness was driven by a rebound in crude oil prices ahead of the weekend’s high-stakes US-Iran talks.
Dow Jones futures will open today evening, along with S&P 500 futures and Nasdaq futures, after lengthy US-Iran talks ended with no deal. Vice President JD Vance said that Iranian officials “have chosen not to accept our terms.”
Technically, a breakout above 24,025 has strengthened the near-term outlook. The Nifty now appears poised to target the 50-DEMA around 24,200, with the next resistance seen near 24,571, according to Nandish Shah of HDFC Securities.
On the downside, 23,700 is emerging as a key support level.
Nilesh Jain of Centrum Broking said the broader structure remains positive, with potential for further short-covering to push the index towards the 24,300-24,500 zone.
Immediate support is seen around 23,800, with a steady decline in volatility likely to support bullish momentum.
Rupak De of LKP Securities cautioned that while the short-term trend remains positive, the absence of a concrete truce over the weekend could trigger a negative reaction.
He sees support at 23,800, while the 24,300-24,350 zone may act as near-term resistance.
