The Nifty 50 extended its winning streak for the fifth consecutive session on November 4, signalling early Diwali celebrations in the equity market. The index rose 0.6 percent to close above its 200-day EMA (Exponential Moving Average) for the first time since August 2026. It surged more than 5.5 percent over the five-session period.
A decisive move above key medium- and long-term moving averages within just three sessions, coupled with the strong rally, highlighted the underlying bullish undertone and a significant improvement in market sentiment.
The index is gradually approaching the psychologically important 24,000 mark, which represents an immediate resistance zone and coincides with the 200-day SMA (Simple Moving Average). A sustained close above this level could pave the way for an advance towards 24,200, the 78.6 percent Fibonacci retracement level of the correction from 24,774 to 22,180. This could be followed by the 24,350–24,400 zone.
However, some caution is warranted at current levels, given the sharp, one-way rally. Intermittent profit-booking cannot be ruled out and would generally be considered a healthy development in an otherwise bullish market.
On the downside, support is placed at 23,700, corresponding to Wednesday's low, followed by 23,500, which coincides with the 100-day EMA, according to market experts.