As per Bajaj Broking, the benchmark indices on Friday witnessed a highly volatile trading session. However, post noon, the market managed to recover from its early losses, aided by positive global cues and investor optimism ahead of the crucial US jobs data. At the close, the Sensex settled almost flat at 80,710.76, down 7.25 points or 0.01%, while the Nifty ended with a marginal gain of 0.03% at 24,741, up 6.70 points. The flat closing highlights cautious sentiment among market participants, as investors preferred to remain on the sidelines ahead of key economic announcements.

On the sectoral front, performance remained mixed. Nifty Auto outperformed with gains of over 1%, followed by Nifty Metal and Nifty Media, which also closed in the green. On the flip side, Nifty IT, FMCG, and Realty indices came under pressure, each falling more than 1%, as profit-booking was seen in heavyweights. The broader markets displayed resilience, with the Nifty Midcap 100 advancing 0.20% and the Small Cap 100 gaining 0.19%, indicating selective buying interest from investors.

Nifty Outlook

Nifty on the weekly chart has formed a bull candle with a similar open and low and a long upper shadow, highlighting buying demand at lower levels around the August low (24,337), while a long upper shadow signals selling pressure at higher levels. Index remained contained inside previous week price range, highlighting consolidation amid stock-specific action. In the coming week, Nifty is likely to consolidate in the range of 24,400-25,000 amid stock specific actions. On the higher side, a move above 25,000 levels will open further upside towards the key resistance area of 25200-25,250 levels.

Immediate support is placed at 24,400-24,337 levels being the confluence of the recent lows and the key retracement area. A breach below the same will signal acceleration of decline towards the key support area of 24,000 in the coming weeks, being the confluence of 52-week EMA and the previous major breakout area.

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Bank Nifty Outlook

Bank Nifty on the weekly chart has formed a bull candle with an upper shadow signaling pullback from the oversold territory. Index remained contained inside the previous week's price range, highlighting consolidation around the 200-day EMA. In the near term, the index is expected to remain range-bound between 53,500 and 55,000, suggesting a consolidation phase before any directional breakout. On the upside, the 54,800–55,000 zone remains a significant supply zone, marked by the confluence of the prior breakdown area and the 100-day EMA. This region is likely to act as a strong overhead resistance unless breached decisively. On the downside, immediate support is placed at 53,500–53,300, which coincides with the 200-day EMA and the swing low of May 2025. A breakdown below this support cluster could trigger a further leg of downside towards the 52,500–52,000 zone, which is seen as the next major demand area.

As per Siddhartha Khemka - Head of Research, Wealth Management, Motilal Oswal Financial Services Ltd -  Equity benchmark indices rebounded from early losses to end on a flat note, supported by positive global cues and buying in auto stocks. Nifty50 closed at 24,741 (+0.03%), while Nifty Midcap100 and Smallcap100 were up by 0.2% each. Amongst sectors, Nifty Auto outperformed with a 1.25% gain, led by strength in large-cap auto stocks as automobiles are one of the biggest beneficiaries of the GST 2.0 reforms. 

On the other hand, Nifty FMCG lost 1.4% due to profit-taking after a five-day winning streak. Nifty IT declined by 1.4%, reversing early gains due to concerns over weaker than expected U.S. labour data and its implications over the US economic growth. 

The Indian rupee weakened to a fresh low of 88.36 against the US dollar, dragged by foreign equity outflows and ongoing pressure from US tariffs, even as reports indicated RBI intervention to curb sharper losses. Overall, while external headwinds from global trade uncertainties and tariff hikes remain a key risk, the combination of a simplified GST framework and positive domestic macros would underpin market momentum in the near term.