Technical View: Nifty rises for 2nd day, move above 25,850 can extend to 26,000, say experts

Sensex, Nifty rise in trade.

• Sensex and Nifty settled higher for the second straight session.
• Bank Nifty closed near 61,200, up 0.37%.
• Midcap and smallcap indices extended gains, showing strength.

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The equity benchmark indices settled higher for the second straight session on Tuesday amid volatile trade and selective buying on the weekly expiry day.

The Nifty opened weak tracking subdued global cues but recovered during the day to settle 42.65 points, or 0.17 percent, higher at 25,725.40.

The Sensex rose 173.81 points, or 0.21 percent, to close at 83,450.96 after moving between 83,598 and 82,987.43 in intra-day trade.

Sudeep Shah, Head – Technical and Derivatives Research at SBI Securities, said the 25,800–25,850 zone remains the immediate hurdle for the Nifty. A sustained move above 25,850 could push the index towards the 26,000 level, while 25,630–25,600 is expected to act as near-term support.

The Bank Nifty continued to outperform, ending near the 61,200 mark with a gain of 0.37 percent, added Shah.

He said the index formed a bullish candle with a minor lower shadow on the daily chart, indicating buying interest at lower levels. With the index hovering close to its all-time high, the overall structure remains positive as major moving averages are aligned upward and momentum indicators show a bullish undertone.

According to Shah, the immediate support zone for the Bank Nifty is placed at 60,800–60,700. As long as the index holds above 60,700, the setup remains favourable for further upside with possible targets of 61,600 and 62,100 in the short term.

The broader market also remained firm. Both the Nifty Midcap 100 and Nifty Smallcap 100 indices closed in the green, extending gains. The midcap index traded above key moving averages, while the smallcap index stayed above its 20-day EMA, signalling near-term strength.

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