Indian equity markets opened sharply higher on Monday, driven by easing oil prices, sustained foreign institutional investor (FII) buying, a stronger rupee, and positive technical signals. The rally followed news that former President Trump signaled he would call off attacks on Iran after pressure from Middle East allies to pursue a diplomatic deal.
Market Opening Highlights
- Sensex: Opened 788.7 points higher at 78,883.34, compared to the previous close of 78,094.64.
- Nifty 50: Started the session 189.1 points (approximately 0.8%) higher at 24,572.70.
- Bank Nifty: Opened 304.75 points up.
- Indian Rupee: Opened 25 paise stronger at Rs. 95.14 per dollar versus the previous close of Rs. 95.39.
- FII Activity: Foreign institutional investors remained net buyers for the fourth consecutive session on July 31, purchasing Rs. 277.48 crore. Domestic institutional investors (DIIs) added Rs. 2,260.37 crore.
Sensex Technical Outlook
The Sensex maintains a positive technical structure, with immediate support in the 77,800–77,600 zone. As long as the index holds above this support band, the broader bullish trend is likely to remain intact.
“On the upside, the 78,300–78,500 zone acts as immediate resistance. A sustained breakout above this range could pave the way for the next leg of the rally, with the Sensex potentially advancing toward 78,800–79,000 levels,” said Sachin Gupta, VP of Technical Research at Choice Equity Broking.
Nifty 50 Technical Outlook
The Nifty 50 traded within a narrow range but maintained a positive bias, ending near the 24,400 mark. The index formed a high-wave candle with a higher high and higher low on the daily chart, signaling that bullish momentum remains intact.
“Index bias remains positive, and dips should be used as a buying opportunity for an up move toward the short-term resistance area of 24,500–24,600, which is the confluence of the high of July and April 2026. A breakout above that will signal a breakout above the three-month consolidation range and open a fresh leg of the up move toward 24,800 and 25,000 levels in the coming weeks,” said Bajaj Broking Research.
On the downside, analysts expect immediate support in the 24,100–24,200 zone, with a stronger support base between 24,000 and 23,800.
Bank Nifty Technical Outlook
Bank Nifty continued to consolidate near the 57,000 level, printing its third straight high-wave candle, indicating stock-specific movement. If the price manages to push decisively above Wednesday’s high and above 57,500, fresh buying momentum may get activated, potentially pushing the index toward 58,000 and then 58,500—an area that also aligns with the upper band of the past six weeks’ consolidation.
“On the downside, the 56,500–56,000 zone remains a crucial support area. This region is reinforced by the confluence of the lower band of the six-week trading range, an ascending trendline, and the 52-week EMA, making it a strong demand zone,” added Bajaj Broking.
Disclaimer: This article is for informational purposes only and does not constitute investment advice. Always conduct your own research before making investment decisions.
Leave a Reply