Nifty Builds Momentum, Breakout Looks Within Reach

The Indian market ended last week on a positive note, supported by the stronger-than-expected performance of the National Democratic Alliance (NDA) in the 2025 Bihar elections.

Nifty jumped over 1.5% to close at 25,910, just below the key resistance level of 26,000. Volatility also eased, with the India VIX falling over 5% on a weekly basis to settle at 11.93.

Open interest data suggests that the 25,700–25,800 zone will now act as immediate support, while 25,500 remains a strong support level.

Recent price action indicates that Nifty may attempt to break above the 26,000 resistance in the coming sessions.

In the week ahead, the overall sentiment is expected to stay positive due to strong domestic cues. Globally, market direction will depend on key U.S. economic releases, including the minutes of the latest FOMC meeting.

Investors should stick to a stock-specific approach, focusing on sectors supported by domestic demand. For traders, a buy-on-dips strategy remains favourable as long as Nifty holds above its key support zones.