Friday’s trading session extended the market’s gradual recovery despite lingering uncertainty surrounding global monetary policy and elevated geopolitical tensions. Investors entered the session encouraged by strength in global equities and easing crude oil prices, helping benchmark indices open in positive territory. While the Sensex briefly rallied sharply during the day, profit booking in select heavyweight stocks erased most gains before the close.

Unlike the previous session, broader market participation improved further. Mid-cap and small-cap stocks continued attracting buyers, signalling increasing risk appetite among investors despite ongoing foreign institutional selling. Realty and banking stocks provided support to the market, while weakness in major IT names prevented a stronger rally in headline indices.

Markets also benefited from softer crude oil prices, which eased concerns about inflation and corporate profitability. Investors focused on domestic opportunities even as global markets continued to assess the implications of the U.S. Federal Reserve’s recent rate hike. The combination of easing volatility and healthy market breadth helped maintain a constructive undertone throughout the session.

At the closing bell, the Sensex settled at 74,294.96, down 19.63 points (-0.03%), while the Nifty 50 gained 75.80 points (+0.33%) to close at 23,346.40. The session reinforced the view that buyers are gradually regaining confidence, although the market remains selective rather than aggressively bullish.

In essence, 18 September was a session of consolidation with a positive bias. The Nifty extended gains for a third consecutive session, broader markets outperformed once again, and investors continued to use declines as buying opportunities.

Benchmarks — Closing Snapshot

Index	Close	Change	% Change
Sensex	74,294.96	-19.63	-0.03%
Nifty 50	23,346.40	+75.80	+0.33%
Bank Nifty	56,359.85	+304.10	+0.54%

Sector Performance

Outperformers:

• Realty stocks remained among the strongest performers.
• Banking stocks staged a healthy recovery and supported benchmark indices.
• Mid-cap and small-cap shares continued to outperform larger indices.
• Adani Ports, Adani Enterprises, Bharti Airtel and HDFC Bank featured among notable gainers.

Underperformers:

• IT stocks faced selling pressure.
• TCS, Infosys, Wipro and Tech Mahindra remained weak through the session.
• Select Tata Group stocks witnessed profit booking.

Institutional Flow

FIIs: Net Sell ₹3,208.76 crore.

DIIs: Net Buy ₹3,617.75 crore.

Insight:

Domestic institutions once again offset foreign selling pressure. The continuation of DII buying remains one of the key stabilizing factors supporting Indian equities despite cautious global sentiment.

Technical Structure for Monday (21 Sept 2026)

NIFTY 50

• Support: 23,250 – 23,200
• Major Support: 23,000
• Resistance: 23,400 – 23,500
• Trend Read: Nifty continues to build a recovery base above 23,200. A sustained move above 23,400 could strengthen bullish momentum toward 23,500.

BANK NIFTY

• Support: 56,100 – 55,800
• Resistance: 56,700 – 57,000
• Trend Read: Banking participation improved significantly during Friday’s session. Sustaining above 56,300 may support further upside.

Options View — Mildly Positive

• Market structure remains constructive above 23,200.
• Traders are gradually shifting from defensive positioning toward selective accumulation.
• Volatility has eased compared with earlier sessions.
• Broader market strength continues to support bullish sentiment.

Insight:

Price action indicates improving confidence, though traders may continue adopting a selective approach until Nifty decisively crosses the 23,400–23,500 zone.

Strategy — How to Navigate Now

Intraday / Option Buyers

• Focus on stocks displaying strong momentum and relative strength.
• Avoid chasing stocks after sharp rallies.

Swing Traders (1–3 Weeks)

• Continue selective accumulation in fundamentally strong businesses.
• Monitor institutional flows and global market developments.

Long-Term Investors

• Continue disciplined accumulation through staggered investments.
• Use volatility-driven corrections to build positions incrementally.

Quick Reference — Levels for Workflow (21 Sept 2026)

Index	Buy on Dip Zone	Resistance	Risk Zone
Nifty 50	23,250–23,200	23,400–23,500	Below 23,000
Bank Nifty	56,100–55,800	56,700–57,000	Below 55,800

Final Take

The market ended the week on a constructive note despite global uncertainty. Nifty extended its recovery and closed above 23,340, while Bank Nifty rebounded strongly and helped improve overall market sentiment. The Sensex ended virtually unchanged, but the strong participation from broader markets highlighted improving investor confidence.

Going forward, markets will closely track:

1. Global reaction to the U.S. Federal Reserve’s policy stance.
2. Crude oil price movements and their impact on inflation.
3. Continued foreign institutional selling versus domestic institutional support.
4. Nifty’s ability to sustain above 23,400 and challenge 23,500 resistance.

While caution remains necessary, the market’s ability to absorb global shocks and maintain steady gains suggests that the recovery trend remains intact for now.

Disclaimer

This Market Insight is prepared for educational and informational purposes only. It does not constitute investment advice, recommendation, or solicitation to buy/sell securities. Readers are advised to consult a SEBI-registered financial adviser before making any investment or trading decisions.