The Nifty 50 gained strength by decisively crossing the previous week’s range on the higher side and trading well above all key moving averages. If the index defends the 25,800–25,700 zone, the uptrend toward 26,000 and 26,100 (October high) can continue in the upcoming sessions; however, falling below it can open the door for 25,500. Meanwhile, the Bank Nifty needs to reclaim and sustain above 58,500 for a move toward 59,000; sustaining below it can signal consolidation and range-bound trading, experts said.
On November 12, the Nifty 50 rallied 181 points (0.7 percent) to Rs 25,876, while the Bank Nifty climbed 136.5 points to 58,275. Market breadth was also positive, with about 1,774 shares witnessing buying interest compared to 1,074 shares that were under pressure on the NSE.
Nifty Outlook and Strategy
Sudeep Shah, Head - Technical and Derivatives Research at SBI Securities
The benchmark index Nifty has staged a strong rebound after finding support in the 25,300–25,330 zone, which coincided with the confluence of the 50-day EMA and the 50% Fibonacci retracement level of its previous rally from 24,587 to 26,104. This technical setup acted as a solid base, triggering a sharp recovery. From the recent low of 25,318, the index has rallied more than 550 points in just four trading sessions, signaling renewed bullish momentum.
Currently, Nifty is trading only 1.52 percent below its all-time high, while the Nifty Midcap 100 has already registered a fresh record high on Wednesday, highlighting strong outperformance in the broader market. The ratio chart of Nifty Midcap 100 versus Nifty has recently broken out of a consolidation phase and is trending higher, suggesting that midcaps are likely to maintain their leadership in the short term.
On the technical front, Nifty is comfortably positioned above its key moving averages, all of which are rising, indicating strength in the trend. The daily RSI has crossed the 60 mark and continues to move higher, reinforcing the bullish undertone. Based on these signals, the index is expected to extend its northward journey over the next couple of sessions.
Talking about levels, the zone of 26,050–26,100 will act as crucial resistance. A sustained move above 26,100 could open the gates for a sharp rally toward 26,300 and subsequently 26,500 in the short term. On the downside, the 20-day EMA zone of 25,650–25,600 will serve as an important support base for the index.
Key Resistance: 26,100, 26,300
Key Support: 25,650, 25,600
Strategy: Buy Nifty Futures in the range of 25,930–25,980, with a stop-loss of 25,780, targeting 26,250.
Nilesh Jain, Head – Technical and Derivatives Research Analyst (Equity Research) at Centrum Broking
The Nifty index opened on a positive note with a gap-up and managed to close above its immediate resistance at the 25,800 level. Earlier, it had taken strong support near 25,350, the 50% retracement of the entire October series rally, and rebounded sharply from that zone. Recently, the index broke above its 21-day moving average (DMA) positioned at 25,690, which will now serve as immediate support.
Momentum indicators and oscillators on the weekly chart remain firmly in buy mode. The next key resistance lies at 26,100, marking a double-top formation, and a decisive breakout above this level could pave the way for an upside move toward 26,250. Overall, the structure remains bullish, and a “buy-on-dips” strategy is advisable.
Key Resistance: 26,100, 26,250
Key Support: 25,780, 25,690
Strategy: Buy Nifty Futures in the range of 25,930–25,970, with a stop-loss of 25,780, targeting 26,250.
Rupak De, Senior Technical Analyst at LKP Securities
The Nifty index continues its uptrend and looks strong after a gap-up opening. On the daily chart, the index has continued to rally higher following a retest of the falling channel breakout. Besides, the index has moved above the 21EMA, confirming the prevailing uptrend.
Additionally, the 21EMA and 50EMA have entered a positive crossover, suggesting a bullish trend for the next 1–2 days. The sentiment might remain positive in the short term, with the index potentially reaching 26,000. On the lower end, immediate support is placed at 25,700.
Key Resistance: 26,000, 26,200
Key Support: 25,690
Strategy: Buy Nifty 26,000 strike Call above Rs 100, with a stop-loss of Rs 77, targeting Rs 150.
Bank Nifty - Outlook and Positioning
Sudeep Shah, Head - Technical and Derivatives Research at SBI Securities
The banking benchmark index, Bank Nifty, has witnessed a strong rebound after taking support near its 20-day EMA. This recovery has propelled the index close to its all-time high levels, signaling robust bullish momentum. With the index trading near record highs, all key moving averages and momentum indicators are aligned positively, reinforcing the strength of the ongoing uptrend.
Given this setup, we expect Bank Nifty to continue its northward journey in the short term. The index is likely to test the 58,700 mark initially, followed by a potential move toward the 59,500 level. On the downside, the zone of 57,900–57,800 will act as a crucial support area, providing a strong base for any corrective moves.
Key Resistance: 58,700, 59,500
Key Support: 57,900, 57,800
Strategy: Buy Bank Nifty Futures in the range of 58,430–58,500, with a stop-loss of 58,200, targeting 58,900.
Nilesh Jain, Head – Technical and Derivatives Research Analyst (Equity Research) at Centrum Broking
Bank Nifty broke out of its short-term consolidation phase and closed above the 58,000 level, indicating renewed buying momentum. The immediate support, marked by the 21-day moving average, is placed around 57,780. A decisive move above 58,500 could fuel a follow-up rally toward 59,000, driven by potential short covering.
Momentum indicators and oscillators on the weekly chart remain firmly in buy mode, further supporting the bullish outlook. Given this structure, traders can consider initiating long positions in Bank Nifty Futures on a breakout above 58,600, with a stop-loss below 58,100.
Key Resistance: 58,510, 58,900
Key Support: 58,100, 57,770
Strategy: Buy Bank Nifty Futures above 58,600, with a stop-loss of 58,100, and a target of 59,000/59,300.
Rupak De, Senior Technical Analyst at LKP Securities
The Bank Nifty remained sideways following a gap-up opening. It has been sustaining above the 21EMA on the daily chart, suggesting a positive trend in the short term. Moreover, the 21EMA and 50EMA are in a bullish crossover. The RSI is also in a bullish crossover, indicating positive momentum in the short term. The sentiment might remain positive, with the index potentially reaching 58,500. On the lower end, immediate support is placed at 58,000.
Key Resistance: 58,500
Key Support: 58,000
Strategy: Buy Bank Nifty 58,600 strike Call above Rs 470, with a stop-loss of Rs 400, targeting Rs 600.
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.
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