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Indian benchmark indices extended their winning streak for a third consecutive session, closing in the green on Thursday, driven by positive global cues following the US Federal Reserve's rate cut. Nifty 50 finished the day at 25,423.60, up 0.37% or 93.35 points.

The index opened at 25,276.60, trading within a range with an intraday high of 25,449 and a low of 25,275.35. The S&P BSE Sensex also gained, settling 320.25 points higher at 83,013.96.

Indian equities closed higher on 18 September, with Nifty 50 ending at 25,423.60, up 93 points or 0.37%. The index opened on a firm note at 25,441.05, touched an intraday high of 25,448.95 and a low of 25,329.75, before settling comfortably above 25,400.

Buying interest was broad-based, led by IT stocks, after the U.S. Federal Reserve delivered a quarter-point rate cut that lifted global risk sentiment. On the sectoral front, Technology and Financials outperformed, while defensive pockets like FMCG and Pharma saw limited traction. Market breadth remained positive, with the NSE reporting about 1,711 stocks advancing against 1,356 declines, reflecting healthy participation beyond large caps.

The index has confirmed a breakout above the upper trendline of its symmetrical triangle pattern near 25,000, reinforcing the prevailing bullish structure. The index has also decisively surpassed key short-term resistance levels, with both the 50- and 100-DMA now transitioning into strong support zones. Momentum indicators further validate this constructive outlook— the RSI has moved above 68 following its own trendline breakout, signaling strengthening market breadth. Meanwhile the MACD has registered a bullish crossover, underscoring the continuation of upward momentum. Together, these technical signals highlight a favorable setup for the index, with the bias remaining firmly positive in the near term.

According to O'Neil’s methodology of market direction, the market status has been downgraded to an "Uptrend Under Pressure" as Nifty breached its "50-DMA" and the "distribution day count" is at one.

The index continues its upward trajectory, closing above 25,400 and reinforcing the prevailing positive momentum. In the near term, the next resistance zone is placed at 25,550–25,650, and a sustained close above this range could extend the rally further. On the downside, immediate support is identified in the 25,000–24,900 band. A breach of this support zone may trigger renewed selling pressure, potentially dragging the index lower toward 24,600–24,500. Price action around these critical levels will be key in determining the index’s short-term directional bias.

On Thursday, Bank Nifty opened on a firm note and attracted sustained buying interest, driving the index higher into positive territory by the close. A bullish candle has emerged on the daily chart, marked by a higher-high higher-low price structure, with the index reclaiming its 100-DMA. Notably, Bank Nifty has now closed in the green for 12 consecutive sessions, underscoring the strength of the ongoing uptrend.

During the session, the index opened at 55,797.10, touched an intraday high of 55,835.25, slipped to a low of 55,490.90, and eventually settled at 55,727.50. The steady upward trajectory reflects strong momentum, supported by sectoral leadership from heavyweight banking constituents. The sustained rally also signals firm investor confidence, with the index now approaching key resistance levels that will be crucial in defining the next leg of the trend.

Momentum indicators are exhibiting gradual improvement, confirming the recent price action. The RSI has inched higher to 63, indicating a steady but constructive uptick in underlying strength. Meanwhile, the MACD has turned positive with a crossover, though it remains positioned below the central line — a signal that the ongoing recovery is still in its early stages. Within O’Neil’s methodology of market direction, the index continues to be categorized as “Uptrend Under Pressure", emphasizing the need for measured optimism and disciplined risk management despite the supportive technical backdrop. Taken together, these mixed signals reinforce the importance of monitoring follow-through action in the coming sessions to confirm whether the nascent strength can evolve into a more sustainable trend.

From a broader market standpoint, Bank Nifty continues to demonstrate resilience, reclaiming its 100-DMA with a positive undertone. Sustained buying interest at current levels could enable the index to advance toward 56,000–56,200. A decisive breakout beyond this range would materially enhance the medium-term outlook and attract further momentum-driven participation. Conversely, failure to hold above the 21-DMA may invite near-term profit-taking. Overall, the index appears well-positioned for a potential breakout, provided sectoral support remains intact.

MarketSmith India is a stock research platform and advisory service focused on the Indian stock market. It offers tools and resources to help investors make informed decisions based on the CAN SLIM methodology, founded by legendary investor William J. O'Neil. You can access a 10-day free trial by registering on its website.

Trade name: William O’Neil India Pvt. Ltd.

Sebi Registration No.: INH000015543

Disclaimer: The views and recommendations given in this article are those of individual analysts. These do not represent the views of Mint. We advise investors to check with certified experts before making any investment decisions.uld materially enhance the medium-term outlook and attract further momentum-driven participation. Conversely, failure to hold above the 21-DMA may invite near-term profit-taking. Overall, the index appears well-positioned for a potential breakout, provided sectoral support remains intact.

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