After rebounding from oversold levels, with a Doji formation on the weekly chart and a Bullish Harami pattern on the daily chart, market sentiment has somewhat improved. However, the Nifty 50 needs strong follow-up buying to move decisively above 23,000, as the broader technical structure remains weak. Until then, consolidation and range-bound trading may continue, with immediate support at 22,500, followed by the crucial support level of 22,180. On the upside, immediate resistance is seen at 22,600, followed by 22,800, according to experts. Meanwhile, the Bank Nifty needs to move above its 20-day EMA at 55,500 to extend its rally towards the resistance level of 56,200. On the downside, immediate support is placed at 55,000, followed by the 54,600–54,400 zone.
On October 9, the Nifty 50 rose 289 points, or 1.30 percent, to close at 22,520, while the Bank Nifty gained 742 points, or 1.36 percent, to end at 55,257. Market breadth turned positive, with around 1,978 stocks advancing against 1,267 declining on the NSE.
Osho Krishan, Chief Manager - Technical & Derivative Research at Angel One
After eight consecutive weeks of sustained selling pressure, which dragged the benchmark index down by over 10 percent and pushed key technical indicators into deeply oversold territory, the bulls finally staged a recovery, bringing the prolonged losing streak to a halt. While the broader technical structure remains weak, with the formation of lower bottoms indicating a persistent bearish trend, the index is approaching a crucial support zone, coinciding with the lows recorded in April 2026 and April 2025.
Additionally, the formation of a ‘Doji’ candlestick on the weekly chart offers a glimmer of hope for a potential relief rally. However, the overall market outlook remains cautious, with a decisive breakout above the previous swing high still required to signal a meaningful trend reversal.