Stock Market Update: Nifty 50 Opened 0.61% Higher, Sensex Gained 558 points Amid Positive Global Cues

The Indian stock market opened higher as global ​bond markets steadied after the US Treasury announced steps ‌to reduce borrowing rates. Nifty 50 opened 147.15 points or 0.61% higher at 24,225.45, while Bank Nifty opened 267.9 points higher than its previous close. Sensex rose 558.77 points to 76,909.68.

The broader market also remained under pressure, with the mid-cap index falling 0.2% and small-cap index down 0.5%. The Indian rupee opened higher at Rs. 95.57 per dollar on Thursday against previous close of Rs. 95.76.

Foreign institutional investors (FIIs) turned net buyers on Wednesday, purchasing equities worth Rs. 407.99 crore, while domestic institutional investors (DIIs) stepped up buying to Rs. 3,973.72 crore.

Sensex Outlook

Technically, the Sensex on intraday chart formed a lower top series formation, and on daily chart, it has formed a bearish candle, which is largely negative. 

Additionally, the index closed below the 50-day SMA (Simple Moving Average), which also indicates further weakness from the current levels. 

“We are of the view that the intraday market texture is weak, but one quick pullback rally is not ruled out if the market surpasses the 77,200 resistance mark. Above that, we could expect a technical bounce back to the 77,500-77,800 levels. On the flip side, below 76,700, selling pressure is likely to accelerate. If it slips below that, the index could fall to the 76,500-76,300 range,” said Shrikant Chouhan, Head Equity Research, Kotak Securities.

Nifty 50 Outlook

The Nifty 50 has continued to show a corrective trend, forming lower highs and lower lows in recent sessions.

For Thursday's session, the 24,000-23,800 zone will remain an important support area for the Nifty. According to Bajaj Broking Research, this zone is supported by a combination of trendline support, a previous major gap area and the 61.8% retracement level of the earlier move from 23,606 to 24,774.

"Nifty has short-term support placed at 24,000-23,800 levels being the confluence of the trendline support joining last 4 months lows, previous major gap area and 61.8% retracement of previous up move 23,606 to 24,774," said Bajaj Broking Research.

The broader technical setup suggests that Nifty could continue to consolidate between 24,000 and 24,600 in the coming sessions. A sustained move above 24,600 would be required for a meaningful rebound. 

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Bank Nifty Outlook

The Bank Nifty also remained in a corrective phase and formed a high-wave candle with a lower high and lower low. The index continues to trade within its broader eight-week consolidation range of 56,500-58,700.

The 57,500-57,800 zone is likely to act as an important resistance area. A sustained move above this range could strengthen the recovery and open the way towards 58,200 and eventually 58,700.

"Within the consolidation index is facing resistance around 57,500-57,800 levels. Index sustaining below the same will open downside towards 56,500-56,200, being the confluence of 200 days EMA and the lower band of the broader consolidation range," said Bajaj Broking Research.