The Indian stock market displayed remarkable resilience this past week, as the Sensex closed with notable gains, shrugging off intermittent bouts of volatility. In a data-driven week marked by cautious optimism and global cues, the benchmark index climbed from around 81,000 levels to close above 82,400, signaling that bulls still maintain a firm grip on the market’s direction.
The Sensex performance across the week is summarized below:
Despite a slow start on Monday, June 17, the market maintained a tight trading range as investors digested global central bank cues and awaited further domestic triggers. Tuesday and Wednesday saw modest declines, with the Sensex dipping to a weekly low of 81,191.04 on June 19 amid profit-booking and subdued international sentiment. However, Thursday marked a turnaround, with a strong rally pushing the index to a weekly high of 82,494.49 before closing at 82,408.17, its highest close for the week.
This rally was likely driven by a combination of factors, including expectations of a stable monsoon, improving macroeconomic data, and positive global sentiment. The consistent buying on dips indicates strong investor confidence in India’s long-term growth trajectory.
Sectoral Pulse
Banking and IT stocks were key contributors to the gains, supported by easing inflation numbers and a relatively stable rupee. Meanwhile, FMCG and pharma showed mixed trends, with traders adopting a wait-and-watch approach ahead of corporate earnings.
Midcap and smallcap indices also witnessed renewed investor interest, with selective buying evident in sectors like infrastructure, auto, and renewables.
Technical Outlook
Technically, the Sensex formed a higher high and higher low pattern on the daily charts by week’s end, suggesting bullish momentum. The support level around 81,200 held firm multiple times during the week, reinforcing it as a strong demand zone. The index also managed to decisively break past the short-term resistance at 82,000.
With the Relative Strength Index (RSI) hovering in a neutral to slightly overbought territory, the rally still has room to continue, albeit with intermittent pullbacks.
Prediction for the Coming Week
Looking ahead, the Sensex is likely to trade with a positive bias but may face resistance near the 82,800–83,000 zone. If global markets remain stable and domestic data continues to improve, the index could test fresh highs. However, any negative surprises from international markets or unexpected policy moves may lead to short-term consolidation.
Key levels to watch:
Support: 81,200 – 81,000
Resistance: 82,800 – 83,000
Traders should stay vigilant for cues from upcoming economic data, movement in crude oil prices, and any signals from the RBI regarding monetary policy. Long-term investors may continue to accumulate quality stocks on dips, while short-term participants should monitor volatility closely.
