Nifty ended the week more than one percent higher. Key levels to watch for the next week are being examined. In June, Sensex stayed mostly range-bound within a 4500-point band. The outlook for July is under review. Following June expiry and the new series start, F&O positioning and open interest trends are being assessed. FII and DII positions in index futures are also considered. Nifty IT and Bank sectors are evaluated for the coming week. Several stocks appear favorable on charts for the next week. The Indian stock market extended gains on Friday, with Sensex and Nifty each rising over 0.3 percent amid easing Middle East tensions and reduced expectations of Fed rate hikes. Sensex added around 262 points to close at 77,764, while Nifty 50 gained more than 95 points to finish above 24,270. The advances lifted total BSE market capitalisation by nearly Rs 44,155 crore to Rs 480 lakh crore. Analyst Sudeep Shah, Vice President and Head of Technical and Derivatives Research at SBI Securities, discussed the outlook for Nifty and Bank Nifty along with index strategy for the upcoming week. The benchmark Nifty stayed within a narrow 500-point range over the past 13 sessions. On Friday it broke out of consolidation, yet profit booking limited further advances, leaving the index at 24,270 with a weekly gain of 0.89 percent. The weekly chart showed a bullish candle with shadows on both sides, marking the third consecutive indecisive formation. Meanwhile, Nifty Smallcap 100 has outperformed and nears its all-time high, while Nifty trades nearly 8 percent below its peak. Its relative strength versus Nifty reached an 81-week high. Bullish momentum in small-caps is expected to continue. Nifty trades above its 20-, 50- and 100-day EMAs, with daily RSI above 60. Resistance lies at the 200-day EMA zone of 24,400-24,450; a break could target 24,700 then 24,900. Support is seen at the 100-day EMA zone of 24,150-24,100. Sensex also broke out of 13-day consolidation but faced profit booking and closed the week up 0.87 percent. It remains above key EMAs with daily RSI above 60, though ADX at 13.39 indicates limited trend strength. Resistance is projected at 78,300-78,500.
