Nifty Corrects, IT Shines: Weekly Technical & Derivatives Roundup

Stay updated with this week’s comprehensive analysis of Indian stock market trends including Nifty and Sensex movements, sector performance, and key derivative market insights.

Technical Analysis of Indian Stock Markets

In the last week, the benchmark indices corrected sharply. The Nifty ended 1.14% lower, while the Sensex was down by 1,080 points.

Among sectors, despite weak market sentiment, the IT index outperformed and rallied 3.3%. In contrast, the Capital Market and Realty indices corrected sharply. The Capital Market Index was down by 4.18%, and the Realty index shed 2.80%.

Sectoral Performance Overview (NSE & BSE)

The week opened positively, but once again, the market faced resistance near 25,200/82,800 and reversed. Technically, on weekly charts, it has formed a long bearish candle and is currently trading comfortably below the 20-day SMA (Simple Moving Average), which is largely negative.

This technical stock market analysis suggests that as long as the market remains below the 20-day SMA or 24,850/81,600, weak sentiment is likely to continue. On the downside, the market could retest the level of 24,500/80,500. A breach of 24,500/80,500 could accelerate selling pressure. Below this level, the index could slip to the 50-day SMA around 24,300/79,900.

On the upside, a break above 24,750/81,300 could extend the pullback move up to 24,850/81,600. Further gains may also continue, lifting the market toward 24,950–25,000/81,900-82,100.

Bank Nifty Technical Outlook:

• Key Support Zone: 55,000 – 55,200

• Upside Scenario: Above this range, it could bounce back toward 56,100–56,300.

• Downside Scenario: Conversely, a fall below 55,000 increases the likelihood of testing the 50-day SMA or 54,500.

Use this analysis as a guide for short-term Nifty trading strategies and Bank Nifty support and resistance levels.

Derivative Insights for Weekly Trading

Market Recap & Nifty Movement Summary

Nifty opened lower and saw a gradual recovery but failed to turn positive, ending with a loss of 0.68%. The Nifty Midcap 100 outperformed, closing with a smaller loss of 0.37%.

Sector Performance Trends

These sector trends are important for traders watching weekly sector rotation and midcap index resilience.

Options Market Insights: Nifty and Bank Nifty

This derivative data supports Nifty options strategy formulation and reflects a cautious market outlook.

Index Futures Positioning: Trader Sentiment Insights

Track index futures data for early signs of institutional movement and sentiment shift in derivatives.

Institutional Activity & FII-DII Flows

FIIs remain net sellers while DIIs continue their buying streak—critical info for tracking institutional investor trends.