Weekly Update

NIFTY:

Nifty index has shown positive momentum and closed above the 22,300 level with a gain of 1.04% for the holiday-shortened week. However, there was resistance encountered from a previous hurdle in the daily chart near 22500, which may act as an immediate obstacle.

The analysis suggests that if the index manages to close above the 22,525 level, it could trigger further upside momentum, potentially testing levels around 22,800 and 23,000 in the near term. Overall, the technical chart setup appears positive, indicating strength in the upcoming week, with the market expected to remain positive as long as the 22,000 level holds on a closing basis.

Regarding options data, there’s significant call open interest at 22,600, indicating a pivotal resistance level, while notable put interest is observed at 22,300, highlighting a pivotal support level.

Nifty50 Weekly Chart

 

BANK NIFTY:

The index experienced a breakout from the previous hurdle at the 47,000 level in the last trading session. Looking ahead, the index is anticipated to maintain a positive outlook, contingent upon it holding above the 46,800 level, with a probable resistance level around 48,000.

The options data suggests significant call open interest at 48,000, indicating a pivotal resistance level, while notable put interest is observed at 47,000, suggesting a pivotal support level. 

Additionally, there was a recovery observed in both the Midcap and Smallcap indices during the week, with the Midcap index rising by 1.61% and the Smallcap index increasing by 1.42% over the week. This recovery in the broader market indices could signify improved market sentiment and potentially contribute to the positive outlook for the coming week.

Bank Nifty Weekly Chart

 

Top Performing Sector of the Week

Nifty Realty 2.99%

-Mahindra Lifespaces 7.5%

-Prestige Estates 6.36%

-DLF 3.59%

Nifty Realty chart

 

Worst Performing Sector of the Week

Nifty Media -2.92%

-TV18 Broadcast -6.45%

-Network 18 Media -5.69%

-Zee Entertainment -2.74%

Nifty Media Weekly chart

 

Key News

• Rail Viks Nigam Ltd emerges as the lowest bidder for a project of Rs 148 crore from SER HQ-ELECTRICAL/SOUTH EASTERN RAILWAY.
• Avenue Supermarts has opened 5 new stores at following locations- Nirmal (Telangana), Banur, Mohali (Punjab), Palm Garden, Ludhiana (Punjab) and Ghatkopar, Mumbai (Maharashtra) and Talegaon, Pune. The total number if stores as on date stands at 362.
• Bajaj Housing Finance, a subsidiary of Bajaj Finance Ltd. likely has begun initial discussions with multiple investment banks regarding a potential initial public offering (IPO). 
• Kutch Copper, a subsidiary of Adani Enterprises ltd. has commissioned the first unit of its greenfield copper refinery project at Mundra by dispatching the maiden batch of cathodes to customers.  
• Larsen & Toubro- L&T GeoStructure wholly owned subsidiary has recently secured multiple orders from across India.