Nifty Ends the Week with Decent Gains as Volatility Subsides

The Indian equity markets closed the week on a strong note, with Nifty extending its upward momentum amid easing volatility and broad-based sectoral participation. The benchmark Nifty 50 index ended the session at 25,285.35, gaining 0.41%, and logged a weekly advance of 1.57%.

A breakout above the recent consolidation band confirms renewed buying interest, while sustained strength above key moving averages signals continued bullish sentiment in the short term.

Nifty Technical Overview

On the daily chart, Nifty formed a bullish candle, reaffirming a stable upward bias. The index now comfortably holds above all its major moving averages, reflecting underlying strength. The upper Bollinger band near 25,520 remains the next resistance zone to watch.

Momentum indicators are aligned with the bullish outlook 

• The RSI has climbed to 61, maintaining a steady upward slope.
  
  
• The MACD continues in the positive territory, supporting the momentum trend.
  
  

Notably, the India VIX dropped to 10.10, its lowest level in several months, indicating that traders expect a low-volatility, stable trading environment ahead.

Key Support Levels: 25,100 – 25,050
Immediate Resistance: 25,520

As long as Nifty sustains above its support zone, the trend is expected to remain neutral to bullish, with potential for gradual upside toward the next resistance levels.

Bank Nifty: Extending the Rally

The Nifty Bank index ended Friday’s session at 56,609.75, up 0.74%, and registered a weekly gain of 1.84%. The index continues to sustain comfortably above all major moving averages, showcasing firm short-term momentum.

On the daily chart, a bullish candle formation indicates ongoing buying strength. The immediate hurdle lies near 57,620, while support is seen around 56,100–55,900.

• RSI: 67, maintaining a consistent upward slope
  
  
• Trend: Bullish as long as the index holds above 56,000
  
  

Sectorally, both Nifty Private Bank (+0.89%) and Nifty PSU Bank (+1.67%) contributed to the rally, adding depth and confirmation to the broader financial sector’s strength.

Market Outlook

With volatility continuing to subside and the India VIX near historic lows, the overall market tone appears calm yet optimistic. Sustained buying across sectors, particularly in banking and financials, supports a constructive medium-term outlook for the index.

As long as Nifty trades above 25,100, the momentum is likely to remain positive, with a potential move toward 25,520 and beyond. Traders may continue to adopt a buy-on-dips approach, keeping an eye on sector rotation and global cues for short-term opportunities.

Key Takeaways

• Nifty closed the week up 1.57%, holding above key moving averages.
  
  
• India VIX fell to 10.10, signaling low volatility.
  
  
• Nifty Bank gained 1.84%, led by strong PSU and private banks.
  
  
• Immediate Nifty resistance seen at 25,520; support near 25,050.
  
  
• Trend remains neutral to bullish in the near term.