Amid inconsistent global cues, markets halted their four-week winning run by finishing slightly down. As a result, both benchmark indices ended the previous week close to the week’s low, with the Nifty finishing at 25,722.10 and the Sensex at 83,938.71.
The Indian stock market is experiencing volatility due to a number of factors, including mixed corporate earnings, cautious global sentiment brought on by a strong US dollar, a hawkish comment from US Fed Chair Powell, disappointing US-China trade developments, and renewed selling by Foreign Institutional Investors (FIIs) due to global pressure.
Final outcomes of the HSBC Manufacturing PMI and the HSBC Services and Composite PMI data, which will provide indicators and Q2 results from Bharti Airtel, Titan Company, Adani Enterprises, Adani Ports, InterGlobe Aviation, Mahindra & Mahindra, Paytm, SBI, Britannia, Lupin, Bajaj Auto, and Hindalco Industries, are important events to keep an eye on this week.
Nifty Outlook Today
“The index concluded the month of October with a gain of 4.51%, but for the week, it slipped 0.28%, forming a shooting star candle on the weekly chart. This pattern signals early signs of exhaustion after a strong run, hinting at the possibility of a short-term correction in the coming sessions,” said Om Mehra, Technical Research Analyst, SAMCO Securities.
“On Friday, the index extended its losses for a second consecutive session, closing 155.75 points lower and finishing below the previous day’s low. The index now appears to be in a bearish-to-sideways phase as long as it fails to sustain above the swing high of 26,100. The close below the 9-EMA suggests a temporary halt in bullish momentum, and unless the 25,900-26,000 zone is decisively reclaimed,” he added.
“The daily RSI stands at 58, indicating moderation in momentum. On the downside, immediate support lies near 25,500, and a decisive breach below this level could confirm a double-top breakdown, accelerating weakness toward lower supports. A sustained move above 26,000 would be required to restore strength and reinstate upward momentum,” Om Mehra added.
Bank Nifty Outlook Today
“The index closed October with a healthy 5.75% monthly gain, while the weekly advance stood at 0.13%, forming a doji candle that underlines hesitation near higher levels. The index displayed visible fatigue on the daily chart, pulling back from its recent peak after testing the upper threshold of its rally. A negative RSI divergence has started to unfold, hinting at waning momentum even as prices hover near recent highs,” said Om Mehra, Technical Research Analyst, SAMCO Securities.
“The daily RSI, cooling to around 62, suggests the uptrend may be entering a consolidation phase, while the MACD histogram has begun to flatten, mirroring reduced directional strength. The index has dipped below its 9EMA, marking the first short-term weakness after an extended climb. The immediate cushion remains near 57,500-57,200, with deeper support around 57,000. On the higher side, 58,100-58,200 remains a strong resistance zone, and a sustained move above this range would be essential to revive bullish momentum,” added Om Mehra.
Stocks To Buy Today
Technical analyst Riyank Arora of Mehta Equities Ltd. suggested purchasing two stocks on Monday, November 3.
IDFC First Bank
Buy | CMP: Rs 81.77 | SL: Rs 78 | Target: Rs 87 / Rs 90
IDFC First Bank is witnessing strong accumulation after a brief consolidation phase. The stock has maintained support near ₹80 and is showing signs of a potential breakout. With improving RSI and steady volume participation, a move above ₹82 could drive the stock toward ₹87 and ₹90. Stop-loss at ₹78 recommended.
Aurobindo Pharma
Buy | CMP: Rs 1,138.90 | SL: Rs 1,100 | Target: Rs 1,200 / Rs 1,240
Aurobindo Pharma continues to show strong momentum within the pharma space, trading above key moving averages with rising investor interest. The stock’s RSI trend remains bullish, indicating potential for further upside. Sustaining above ₹1,140 could open the path toward ₹1,200 and ₹1,240. Traders may keep a stop-loss at ₹1,100.