Nifty Index Surges to 26,192.15 as Market Sentiment Remains Optimistic Ahead of Monthly Expiry

The Nifty index experienced a robust surge on Thursday, closing at 26,192.15 with a gain of 139.50 points. This upward movement highlights the strong presence of buyers, as the index nears its all-time high. Meanwhile, the Nifty index also showed positive momentum, climbing 131.65 points to settle at 59,440.10. Despite the generally optimistic market sentiment, volatility slightly increased, with the India VIX closing near 12, indicating a cautious approach.

"The Nifty has reclaimed key resistances after four weeks with a strong bullish gap, reflecting renewed confidence ahead of the monthly expiry. The index's steady trades above the 10-DEMA signal accelerating bullish momentum, while the conversion of previous resistance levels into strong support continues to bolster the long-term optimistic view," commented Dhupesh Dhameja, Derivatives Research Analyst, SAMCO Securities.

Dhupesh Dhameja further noted that put writers are actively adding positions near current levels while call writers are moving to higher strikes. This indicates an upward trend bias, suggesting that dips might continue to be absorbed. A breakout above 26,300 could initiate the next rally phase, whereas a sustained drop below 25,800 might cause short-term weakness. Traders are advised to adopt a buy-on-declines strategy until key supports are breached.

"The Nifty Bank index has been consistently registering fresh all-time highs, supported by strength across both private and public sector banks. Ahead of monthly expiry, the index continues to display strong momentum, with every minor decline encountering renewed buying. The index's sustained position above the 10-DEMA reinforces the bullish structure, while the shift of previous resistance zones into reliable supports strengthens the long-term positive narrative," commented Dhupesh Dhameja.

Technical analyst Riyank Arora from Mehta Equities Ltd. suggested buying two stocks on Friday, November 21. The Nifty index remains above its 10-day and 20-day exponential moving averages, which have consistently acted as dynamic support levels.

OLA Electric is stabilising after a mild corrective phase and showing signs of bottom formation. The price is holding above ₹40 support, which has acted as a cushion in recent sessions. Momentum is picking up slowly. A sustained move above ₹42 could trigger a move toward ₹44.20 and ₹46.00. SL at ₹39.50.

Jayneco Industries is displaying steady strength with a constructive price structure. The stock is trading above its short-term averages, and RSI remains in the positive zone, indicating continuation strength. A push above ₹76 may open upside toward ₹78.50 and ₹81. SL at ₹72.

"With put writers increasing exposure at near-the-money strikes and call writers migrating to higher levels, the trend remains firmly upward-biased, making dips attractive for accumulation. A breakout above 59,500 could trigger the next leg of the rally, whereas only a sustained move below 59,000 may introduce short-lived weakness. As long as key supports remain intact, traders are likely to favour a buy-on-declines approach," he further added.

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