Indian equity benchmarks extended their uptrend for the second straight session on October 10, with the Nifty crossing the 25,30 0mark intraday — its highest level since September 19th. After a muted start, the market maintained a positive bias through the session, enabling the Nifty to reclaim the 25,300 level, driven by broad-based buying across sectors, except metals.

At close, the Sensex was up 328.72 points or 0.40 per cent at 82,500.82, and the Nifty was up 103.55 points or 0.41 per cent at 25,285.35. On a weekly basis, both the BSE Sensex and Nifty posted gains of 1.5 percent each. The broader markets moved in tandem with the benchmarks, as the Midcap index advanced 0.46%, while the Small-cap index added 0.74%. All sectoral indices, except metals, ended in the green. Realty, healthcare, PSU Bank, pharma, and consumer durables indices outperformed, registering gains of over 1.5 per cent each, while FMCG, auto, and banking indices advanced between 0.4 and 0.8 percent.

Nifty Outlook

Nifty on weekly chart has formed a sizable bull candle with a higher high and higher low signaling continuation of the up move. The index in the process closed above the short-term moving average and has retraced more than 80% of its previous decline ( 25448-24588). In the coming week, the index to maintain a positive bias and head higher towards 25,450 levels, being the confluence of the high of September 2025 and the trendline resistance joining the major highs of September 2024 and June 2025. A move above 25,450 will open further upside towards the June 2025 high of 25670 in the coming week. Stock specific action will remain in focus as we progress through the Q2FY26 earnings season.

Bajaj Broking Research believes dip in the coming week should be used as a buying opportunity.  Bajaj Broking has revised the support base higher towards 25,000-24,900 levels, being the confluence of the last week's low and the 20 & 50 days EMA.

Bank Nifty Outlook

Bank Nifty formed a sizable bull candle with a higher high and higher low and closed above Tuesday high signaling resumption of up move after two sessions of breather. Going ahead, index to maintain positive bias and head higher towards the all-time high of 57,300-57,600 in the coming week. On the downside support is placed at 55,500-55,000 levels being the confluence of the 20- & 50-days EMA and the 61.8% retracement of the last up move (54,227-56,502). We believe bias remain positive and dips should be used as a buying opportunity.

Motilal Oswal Financial Services Ltd

Nifty50 edged higher by 104 points to close at 25,285 (+0.4%), amid improving global sentiment, supported by easing geopolitical tensions as Israel and Hamas agreed on the first stage of a ceasefire plan, along with signs of progress in a potential India–US trade deal. Renewed foreign portfolio investor (FPI) buying over the past three sessions (cumulating to Rs2,830cr) also boosted sentiment.

Additionally, India and the UK announced multiple collaborations across sectors including education, critical minerals, climate change, and defence. On the sectoral front, Nifty PSU Bank index led the gains, up 1.7%, on the back of strong Q2 business updates from multiple PSBs.  It was followed by Nifty Realty and Pharma indices which gained 1.6% and 1.3% respectively. In contrast, Nifty Metal was the top laggard, down 0.9% on account of profit booking after a recent rally.

According to AMFI data, mutual funds reported net outflows of ₹43,146 crore in Sep’25, compared with inflows of ₹52,443 crore in Aug’25 — the first negative monthly flow since April 2025. However, equity MFs continued to see healthy inflows of ₹30,422 crore, down 9% MoM. As the Q2 earnings season begins, key results due on Monday include HCL Tech and Anand Rathi Wealth, while Avenue Supermart is set to report earnings over the weekend. On the macro front, investors will closely track India’s retail inflation print for September to be released on Monday. "Overall, we expect Indian equities to trade in a range with a positive bias, aided by supportive global cues and sustained buying interest in the market", added Siddhartha Khemka - Head of Research, Wealth Management, Motilal Oswal Financial Services Ltd.

Also Read: Bajaj Broking & MOFSL Daily Market Commentary for Oct 9th 2025

Ashika Institutional Equities 

Indian markets ended the session on a firm note, with the benchmark Nifty steadily climbing after opening at 25,167 and maintaining a positive trajectory throughout the day. Key sectoral drivers included robust gains in PSU banks, realty, pharma, private banks, and healthcare, which collectively supported the upward momentum. However, selective profit booking was observed in metals and IT stocks, which tempered advances in these pockets. Strong buying interest in PSU banks, realty, and pharma fueled today’s rally, while healthcare and private banks provided additional support. Metals and IT sectors witnessed some cooling off as investors locked in gains, reflecting a measured approach amid recent runs.

On the global front, ongoing constructive dialogue between India and the USA helped bolster market sentiment, adding optimism and confidence among market participants. The derivatives segment displayed a clear bias towards advances, with the advance-decline ratio favoring positive movers. Notably, significant open interest build-up was seen in names like Divis Laboratories, Tata Elxsi, PG Electroplast, Hindustan Zinc, and SBI Life, indicating fresh participation and trader positioning in these counters.