Indian markets are likely to open lower on Friday, as the global markets experienced declines. Several major global markets including the Nasdaq and Nikkei 225, dropped overnight, which has dampened investor sentiment. 

Additionally, the Gift Nifty, which is trading at 26,180, indicates the Nifty is expected to open weak on the day, which is 41 points lower than the previous Nifty futures close. 

Indian markets on Thursday closed up when the Sensex rose 446.21 points or 0.52%, at a closing level of 85,632.68, while the Nifty 50 closed up 139.50 points or 0.54%, at a closing level of 26,192.15. 

Sensex Outlook

The Sensex stays in an upward price structure. The positive candle formation seen on the daily timeframe along with upside momentum on the intraday timeframes, indicates that bulls are still in command of the market direction. 

Analysts have said that they expect the index to continue the extension of the recent rally ,but that volatility could emerge close to the resistance zone. 

The 85,500-85,200 zone will act as key support for the day. If the index breaks 85,800-86,300, then continued upside could be expected for the day, however, any break below 85,200 would weaken bullish outlook.

Nifty 50 Outlook

The technical setup for Nifty 50 remains constructive. The index recently broke through the 26,100 double-top resistance, closing just below 26,200 and continuing its pattern of higher highs and higher lows.

Immediate support is at 26,000, while a breakout above 26,277 may propel the index toward the 26,350-26,500 zone.

Broader demand zones continue to hold strong around 26,180, 26,070, and deeper support between 26,000-25,900, which maintains the foundation for a positive undertone. 

The 26,000 Call strike has the highest open interest of 1.35 crore contracts, confirming it as a strong resistance. On the downside, the 25,500 Put strike has 70.37 lakh open interest, signalling strong support. 

Bank Nifty Outlook

The Bank Nifty hit a fresh all-time high above 59,400, largely driven by private-sector banks, closing at 59,347.70 with a neutral candlestick. 

However, the overall chart pattern stays positive. Support is seen at 59,120, and resistance at around 59,500 to 60,000.

Analysts expect the index to push higher towards 59,700 and 60,300. The 59,000 to 58,900 zone should provide support against declines in the near term.

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Sectoral Overview

The major indices rose as a result of approximately 0.5% to 1% advances in financial services, chemicals, oil & gas, and automobiles. 

The Nifty Midcap index closed marginally up 0.02% while Small-cap declined 0.05% demonstrating a mixed overall risk appetite.

Foreign investors bought Rs 1,580 crore worth of equities on Wednesday. FPIs' assets under custody reached a 14-month high, increasing to Rs 81.53 trillion, indicating improved confidence in the Indian stock markets.