Weekly Trend Report
- 01st Aug, 2026
Week Gone By
Indian equity markets ended the week with strong gains, driven by robust Q1FY27 earnings, broad-based buying and resilient domestic sentiment despite mixed global cues. The Sensex surged 2.68% to 78,094.64, while the Nifty 50 gained 2.59% to 24,383.60. On the macro front, India’s forex re-serves increased to USD 676.24 billion, reflecting continued economic resilience. Globally, the Euro-zone economy showed stronger-than-expected growth, while the U.S. economy slowed in Q2 and the Bank of England kept interest rates unchanged. Strong earnings from companies such as Mahin-dra & Mahindra, Lodha Developers and AU Small Finance Bank supported market sentiment, helping domestic equities outperform despite mixed global developments.
Week Ahead
Global markets will closely track the RBI’s monetary policy decision, U.S. jobs data, and key PMI releases from India, the U.S., and China during the week. Investor sentiment remains cautious after the U.S. Federal Reserve maintained interest rates with a hawkish stance, while geopolitical tensions in the Middle East continue to keep crude oil prices elevated, posing risks to inflation and India’s cur-rent account balance. Domestically, markets will also monitor Q1FY27 GDP expectations, July PMI data, and foreign exchange reserves. On the corporate front, earnings from Bharti Airtel, SBI, Titan Company, Hindalco, Divi’s Laboratories, Britannia Industries, Marico, Cummins India, Pidilite Indus-tries, DLF, Power Finance Corporation, Godrej Consumer Products and several other large-cap com-panies will remain in focus and are likely to drive stock-specific action during the week.
Technical Overview
- Nifty 50 ended the week at 24,383.60, gaining 616.15 points +2.59% on the weekly timeframe. The index recovered strongly from the previous week’s decline and formed a broad bullish candle, reflecting renewed buying interest and im-proved market sentiment.
- The most important development this week was the successful defence of the 23,800–23,900 demand zone. After briefly slipping below this support during the previous week, buyers immediately absorbed supply and pushed the index back above the breakdown level. This price action confirms that the recent breakdown was a false move and institutional de-mand has re-emerged near lower levels.
- On the daily chart, Nifty has reclaimed all its short-term moving averages and closed near the week’s high, indicating sustained buying throughout the week rather than a short-covering bounce
- The recovery has also resulted in a breakout above the short-term consolidation range of 24,150–24,200. This breakout was supported by consecutive bullish candles and improving participation, indicating fresh buying rather than merely covering bearish positions. Previous resistance is now expected to act as immediate support on any pullback.
- Another encouraging feature is the successful retest of the rising trendline and the 23,900–24,000 support zone. Every dip during the week attracted buying interest, highlighting accumulation at lower levels and confirming that market partic-ipants are willing to buy declines instead of chasing weakness.
- Weekly MACD continues to improve with the bullish crossover remaining intact and the histogram expanding in positive territory, reflecting strengthening medium-term momentum.
- Weekly RSI has moved higher and is gradually entering bullish territory, confirming improving buying strength. However, momentum now faces its first major test as price approaches a historically important supply zone.
- Conclusion:
The latest weekly price action marks a significant improvement in Nifty’s technical structure. The successful defence of the 23,800 support zone, followed by a strong breakout above the recent consolidation and the formation of higher highs and higher lows, suggests that the medium-term recovery is gaining traction. However, the index has now reached the critical institutional supply zone of 24,350–24,450, where strong selling pressure has emerged in previous rallies. A sus-tained close above this zone would confirm a fresh breakout and could open the path towards 24,750–25,000. Until then, some consolidation or profit booking near current levels cannot be ruled out. On the downside, 24,150–24,200 be-comes the first support, followed by 23,900–24,000, where buyers are expected to defend the prevailing uptrend.
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