Stock Market Update: Nifty Eyes 26,000 as Sensex Holds Above 83,700; Bank Nifty Momentum Continues

Indian markets are expected to open on a firm note, supported by favorable global cues and steady institutional flows. Early indicators from GIFT Nifty signal a positive start with the index trading near 25,853 around 25 points higher than previous Nifty futures close.

On Wednesday domestic markets extended gains for a third straight session. Sensex advanced 283 points or 0.34% to 83,734.25 and Nifty 50 climbed 93.95 points or 0.37% to 25,819.35.

Sensex Outlook

Technically Sensex rebounded from the 83,400 zone and formed a bullish daily candle and it shows renewed buying interest at lower levels. 

Market experts indicate that near-term support has shifted upward to 83,300. As long as the index sustains above this level short-term momentum may remain constructive. 

Immediate resistance is at the 84,700-85,000 range where profit-booking could emerge. A break below 83,300 may weaken sentiment.

Nifty 50 Outlook

Nifty 50 price action shows continuous dip-buying. The index formed a bullish candle with a long lower shadow. 

The breakout above the 25,750 resistance has strengthened near-term sentiment. Options data indicate a range-bound market as traders wrote heavy put options at 25,700 and sold call options at 26,000.

The 25,650-25,700 zone is likely an immediate support. The market will move toward 26,100 and 26,350 if it breaks through 25,900. 

But failure to defend 25,600 may drag the index toward the 25,500 base. The India VIX has also decreased by around 5%, supporting market stability.

Bank Nifty Outlook

Bank Nifty advanced for its third consecutive session by rising 376.8 points or 0.62% to reach 61,550.80. 

The index maintains its position above key moving averages which establishes bullish sentiment. 

Immediate resistance is at 61,800-62,000. A sustained breakout above this band may accelerate gains toward 62,300-62-700. 

The support level has moved up to the 61,100-61,000 range while 60,800 is the deeper support level.

Also Read: US Stock Market Today: S&P 500 Gains as Chipmakers Rally and Treasury Yields Climb Ahead of Fed Minutes

Institutional Flows and Global Cues

On February 17 Foreign Institutional Investors purchased shares worth Rs. 995 crore while Domestic Institutional Investors acquired shares worth Rs. 187 crore. It somehow stabilized market sentiment.

The market will focus on PSU and metal stocks as investors will engage in value buying.IT stocks will also see limited selling despite positive news about global AI partnerships. 

The market experiences intraday volatility for global factors like softer crude oil prices, US FOMC minutes and the jobless claims data.