The equity benchmarks settled higher on Friday after the Reserve Bank of India (RBI) cut the key policy rate and announced liquidity measures aimed at supporting economic growth amid elevated US tariffs.
The Sensex rose for a second straight session, gaining 447.05 points or 0.52 percent to close at 85,712.37. It touched an intraday high of 85,796.72, up 531.4 points or 0.62 percent. The Nifty advanced 152.70 points or 0.59 percent to settle at 26,186.45.
Analysts said the Nifty could move towards 26,440 as long as it holds the 26,060 mark.
Rupak De, Senior Technical Analyst at LKP Securities, said the Nifty moved sharply higher following the policy announcement and continues to trade above the 21-day exponential moving average. He said the index broke out of a recent consolidation on the hourly chart, signalling improving sentiment. "The RSI has reclaimed a bullish crossover, indicating strong momentum. In the short term, the index may move towards 26,300–26,440, while support is placed at 26,060–26,000," he said.
On the Bank Nifty, Vatsal Bhuva, Technical Analyst at LKP Securities, said the index formed a long bullish candlestick on Friday and regained its 10-day simple moving average. He noted that the trend remains positive, although the RSI has yet to confirm a bullish crossover. Resistance is seen near 60,000, while immediate support stands around 59,250.
Sudeep Shah, Head – Technical and Derivatives Research at SBI Securities, said the 26,300–26,350 zone is expected to act as a key resistance area for the Nifty, aligning with a previous swing high. A sustained move above 26,350 could open the door to further gains towards 26,500 and then 26,700, he said. On the downside, the 20-day EMA around 26,000–25,950 is likely to provide crucial support.
The RBI’s six-member monetary policy committee, led by Governor Sanjay Malhotra, voted unanimously to reduce the repo rate by 25 basis points to 5.25 percent and maintained a neutral stance, leaving space for further easing.
Disclaimer: The views and investment tips expressed by experts on Moneycontrol are their own and not those of the website or its management. Moneycontrol advises users to check with certified experts before taking any investment decisions.
Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
