Bajaj Broking: Indian equity benchmarks ended the January 28th session on a strong note, with the Nifty decisively closing above the 25,300 mark, reflecting sustained bullish momentum in domestic markets. Sentiment remained positive, supported by optimism around the India–EU Free Trade Agreement, which is expected to improve trade prospects and support medium-term economic growth. Global markets traded mixed as investors remained cautious ahead of the U.S. Federal Reserve’s policy decision. While interest rates are widely expected to remain unchanged, attention is focused on the Fed Chair’s guidance regarding the timing and pace of potential rate cuts later this year.

At the close, the Sensex rose 487.20 points, or 0.60%, to 82,344.68, while the Nifty gained 167.35 points, or 0.66%, to settle at 25,342.75. Sectorally, Media, Metal, Energy, Oil & Gas, Realty, and PSU Banks gained 1–4%, while FMCG, Consumer Durables, and Pharma ended lower. The broader market outperformed, with the Midcap and Small-cap indices rising 1.66% and 2.26%, respectively.

Nifty Outlook 

Nifty formed a second consecutive bullish candlestick pattern with a higher high and a higher low, signalling continuation of the pullback from the extreme oversold territory. Volatility is likely to stay elevated in the coming sessions due to the Union Budget on February 1, 2026, and uncertain global cues. Nifty has rebounded more than 350 points in the last two sessions from the key support area of 25,000–24,800, being the confluence of the lower band of the last seven-month rising channel and the 52-week EMA. A follow-through strength can see the index moving higher towards 25500 levels in the coming sessions. Overall, ahead of the Union Budget, the index is likely to consolidate in the range of 24,900-25,550 amid stock-specific action.

Bank Nifty Outlook

The Bank Nifty extended its up move for the second session in a row. It has formed a doji candle with a higher high and a higher low, signalling consolidation with positive bias. Volatility is likely to stay elevated in the coming sessions due to the Union Budget on February 1, 2026, and uncertain global cues. Index in the short term is likely to consolidate in the range of 60,400-58,500. Only a move above the recent high of 60,400 will open further upside towards the 61,500 levels. Key support, as mentioned in earlier edition is placed at 58,000-57,500 levels, being the confluence of the 100-day EMA and the major breakout area. The daily stochastic has generated a buy signal moving above its nine-period average, thus validating positive bias.

Motilal Oswal Financial Services Ltd

Indian Equity markets ended higher amid positive global cues and investor optimism around the finalisation of the India-EU Free Trade Agreement. Further, gains in several index heavyweights supported an up-move in the benchmarks. Nifty50 closed with gains of 167 points at 25,343 (+0.7%). The broader market witnessed strong buying interest with Nifty Midcap100 and Smallcap100 up by 1.7% and 2.3% respectively. 

On the sectoral front, Nifty India Defence Index was the top gainer, rising 7% amid broad-based buying in defence counters on expectation of capex push in the upcoming Union Budget. Also, better than expected Q3 results from Bharat Electronics supported the positive momentum in defence space. Shares of upstream oil companies gained up to 10%, tracking rise in global crude oil prices. Meanwhile, there was continued rally in select metal stocks amid surge in precious metal prices. On the global macro front, all eyes would be on US Federal Reserve’s interest rate decision later today, although the rates are widely expected to remain unchanged.

On the domestic front, the forthcoming FY27 Union Budget is expected to balance the growth momentum and fiscal consolidation, with focus on higher capex across sectors such as defence, infrastructure, affordable housing, power, capital goods etc. Looking ahead, the positive market momentum over the last two days could continue, supported by positive sentiments around the India-EU FTA and the upcoming Budget, while tracking global cues and the ongoing Q3 earnings season.

Also Read: Bajaj Broking, Ashika Institutional & MOFSL Market Closing Commentary

Ashika Institutional Equities: Indian equity markets ended Wednesday’s session on a firm note, extending gains for the second consecutive day, supported by positive sentiment around the India–EU trade agreement. The benchmark Nifty 50 opened higher at 25,258, scaled an intraday high of 25,372, and slipped to a low of 25,187. However, the index largely traded in a narrow range through the session, reflecting a phase of consolidation after recent gains. On the sectoral front, CPSE, Energy, Oil & Gas, and PSE stocks outperformed the broader market, attracting sustained buying interest.

In contrast, FMCG, Auto, Pharma, Consumption, and Healthcare indices witnessed mild profit-taking and ended as relative underperformers. In the currency market, the Indian rupee weakened towards the 91.6 mark against the US dollar, hovering near its record low hit earlier this week, weighed down by persistent foreign capital outflows. Meanwhile, the commodity space witnessed strong traction, with safe-haven demand boosting precious metals. Gold surged by 4.33%, while silver outperformed with a sharp gain of 6.33% during the session, reflecting heightened investor interest.