Stock market today: Gift Nifty up 220 points; key levels for Nifty, Sensex & Nifty Bank

Indian equity benchmark indices are set to open higher on Monday as better-than-expected earnings from top lenders and positive global cues on easing China-US trade tensions boost investor sentiment. Traders will also be reacting to RIL’s earnings ahead of Muhurat trading session tomorrow.

Nifty futures on the NSE International Exchange traded 218.29 points, or 0.85 per cent, up at 25,976, hinting at a positive start for the domestic market on Monday. A jump in the Nikkei led Asian markets higher on Monday. Nikkei and Hang Seng were up 3 per cent each, while KOSPI rose more than a per cent.

Wall Street ended higher on Friday as investors assessed US President Donald Trump’s latest remarks on China. The S&P 500 climbed 0.53 per cent to end the session at 6,664.01 points. The Nasdaq gained 0.52 per cent to 22,679.98 points, while the Dow Jones Industrial Average rose 0.52 per cent to 46,190.61 points.

The prospect of a series of Fed rate cuts has underpinned bonds, with 10-year yields falling almost 14 basis points last week to currently stand at 4.011 per cent. The slide in yields has pressured the dollar against European and higher-yielding currencies. The dollar index was flat at 98.543.

In commodity markets, gold remained in high demand after jumping almost 6 per cent last week. It was trading at $4,263 an ounce. Oil prices continued to be weighed by ample supplies as OPEC+ keeps raising its output. Brent eased 0.4 per cent to $61.02 a barrel, while US crude dropped 0.5 per cent to $57.24 per barrel

The market enters the new week with an optimistic outlook. Cooling inflation, robust domestic macro fundamentals, and strong earnings momentum offer a constructive setup for the medium term, said Ajit Mishra, SVP of Research at Religare Broking.

“Investors should stay vigilant to external risks, including global trade tensions and geopolitical developments, which could lead to short-term volatility. Traders may continue to adopt a buy-on-dips approach,” he said.

Provisional data available with NSE suggest that FPIs turned net sellers of domestic stocks to the tune of Rs 308.98 crore on Friday. On the other hand, domestic institutional investors (DIIs) turned buyers of Indian equities to the tune of Rs 1,526.61 crore on a net-net basis. FPIs have turned buyers with a Rs 6,480 crore investment in October so far.

A persistent feature of FII activity for the last two years has been the sustained FII buying in the primary market, said VK Vijayakumar, Chief Investment Strategist, Geojit Investments. “The relatively lower valuations of IPOs and the preferential allotment to institutions have rendered FII investment through the primary market a highly profitable investment. This trend is likely to continue.”
 

Nifty50 & Sensex outlook

The short-term market texture is bullish, but due to temporary overbought conditions, some profit booking may occur at higher levels, said Amol Athawale, VP of Technical Research at Kotak Securities. “For traders, 25,550-25,350 /83,000-82,400 would act as key support zones, while 26,000/84,400 and 26,300/85,300 would be the crucial resistance levels for the bulls. However, below 25,350/82,400, the uptrend would become vulnerable,” he said.

A strong bullish candle was formed, also giving a breakout of the Cup & Handle formation, indicating renewed strength in Nifty50, said Choice Broking. The price action reflects a sideways-to-bullish momentum, suggesting a buy-on-dips approach. A sustained hold above the 25,500 mark will be crucial for further upside movement, it said.

“Nifty has immediate support at 25,500 and 25,300, which could offer strong buying opportunities for traders on dips. On the upside, resistance is seen at 25,800 and 26,000, with the latter acting as a key hurdle. A sustained breakout above 25,800 could trigger a bullish rally, potentially targeting 26,000 and 26,300 in the coming weeks,” Choice Broking added.
 

Nifty Bank outlook

“We believe Nifty Bank is likely to extend its northward journey over the next few trading sessions. In terms of key levels, the support zone of 57,100–57,000 will be crucial. As long as the index trades above 57000, it remains well-positioned to test 58,500, followed by 59,000 in the short term,” said Sudeep Shah, Head of Technical and Derivatives Research at SBI Securities.

Nifty Bank has successfully broken out of a multi-week consolidation, establishing immediate support at around 57,400 and 57,000, providing a strong buffer for buyers on potential dips. Technical indicators remain favorable, with MACD in positive territory, reinforcing upward momentum, said Puneet Singhania, Director at Master Trust Group.

“On the upside, resistance is anticipated near the 58200 level, and a decisive breakout above this could propel the index toward 58700. Overall, the structure supports a disciplined ‘buy on dips’ strategy,” it said.