Sensex may rally to 79,000, Nifty eyes 24,600 next week: Experts

Mumbai, July 5 (IANS) After ending the week on a firm note, India’s benchmark indices are expected to remain on a positive trajectory, with experts saying the Sensex could move towards the 79,000 mark and the Nifty may target 24,600 if they manage to sustain above crucial resistance levels in the coming sessions.

In the previous week, the Indian stock market concluded with solid gains, supported by strong domestic macroeconomic indicators and improving investor sentiment.

Robust GST collections, better industrial output, and continued expansion in both the manufacturing and services sectors helped underpin the rally.

Market sentiment also received support from expectations of a more accommodative global monetary policy after weaker-than-expected US labour market data.

Although global cues remained mixed and India’s services sector activity moderated slightly, benchmark indices displayed resilience throughout the week.

For the week, the Sensex advanced 0.86 per cent to settle at 77,763.91, while the Nifty climbed 0.90 per cent to close at 24,270.80.

According to experts, the Sensex continues to maintain a constructive technical setup after holding above its recent breakout levels.

They said the 78,100-78,200 zone will be the immediate resistance, and a sustained move above this range could strengthen bullish momentum and pave the way for an advance towards the 79,000 mark.

On the downside, experts expect the 77,500-77,400 range to provide immediate support, followed by the 77,000 level.

“Holding above these support zones will be crucial for maintaining the broader recovery trend, although sustained buying above immediate resistance will be needed to confirm the next leg of the rally,” market experts noted.

For the Nifty, experts said the index remains in a positive technical structure as it continues to trade above its 100-day exponential moving average (EMA) of 24,131 and has also closed above the falling resistance trendline near 24,200.

“These levels are expected to serve as immediate support in the coming week,” as per the expert.

They expect the 24,050-24,150 zone to act as immediate support, while the 24,421 level, which coincides with the 200-day EMA, remains the first major resistance. A decisive move above this level could trigger a rally towards 24,600, which aligns with the April swing high and is likely to be the next key hurdle for the bulls.

–IANS

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