All eyes are now on the budget. We’ll have to wait and see what’s in store for the markets.
But if we leave the budget aside and look at the graphs, the picture looks good. So any fall after the budget could be short-lived. Support measures are in place to limit the downward trend of the benchmark indices. If there is a decline post-budget, this will be a very good long-term buying opportunity.
Among sectors, the BSE Capital Goods index rose the most in the past week. The index rose 7.9 percent. This was followed by the BSE Power index, which rose 6 percent. The BSE Consumer Sustainables index fell the most last week. The index fell by 2.67 percent.
Selling FPIs
Foreign portfolio investors (FPIs) continued to sell Indian equities for the sixth consecutive week. However, sales volume was relatively lower last week. There was a net outflow of approximately $257 million. Net outflows for the month of January were $3.97 billion. The FPIs have raised around $6.49 billion in the past few months.
Handy 50 (25,320.65)
Short-term vision: The immediate supports are 25,100, 25,050 and 24,900. Resistance is around 25,620. A break above this could take the Nifty higher to 26,400 in the near term.
If the index falls below 24,900 after the budget, a drop to 24,500 or 24,200 is possible. For the time being, we do not expect a decline above 24,200-24,000. As such, Nifty may rise again after this fall and reach 26,000 and above.
Medium-term vision: The overall outlook remains bullish. We maintain our view of an increase to 27,500-28,000 in the medium term and to 30,000-31,000 in the long term.
The region between 24,000 and 23,500 is strong support. The bullish view will go wrong only if the Nifty falls below 23,500. In that case, a drop to 22,000 and lower is possible.
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Handy bank (59,610.45)
Short-term vision: The support at 58,000 held up very well. The Nifty Bank index has risen from last week’s low of 58,121.60. The resistance is at 60,700 and can be tested this week. We see great opportunities for the Nifty Bank index to break through this resistance in the future. Such a break could take the index to 61,800-62,000.
The Nifty Bank index will come under fresh selling pressure only upon a break below 58,000. If that happens, a drop to 57,000 or even 56,000 can be seen.
Medium-term vision: The index is now consolidating within the general upward trend. The bullish outlook remains intact. The Nifty Bank index may rise to 63,000-63,500 in the medium term and 68,000-69,000 in the long term.
There is support in the 54,000-53,800 region. The index must decisively break this support to negate the bullish outlook.
Sensex (82,269.78)
Short-term vision: The index gains support around 81,000. The resistance is about 83,000. Sensex needs to break this hurdle to stage a rise to 83,600 or 84,300.
The index will come under pressure if it falls below 81,000. Such a breakthrough could bring it back to 80,000 or 79,500. The index may then rise again and reach a level of 83,000 and higher in the short term. We do not expect a decline above 79,500.
Medium-term vision: The broader picture remains bullish. Sensex may rise to 89,000-90,000 in the medium term and 98,000-99,000 in the long term.
Crucial support to watch is 79,500. The above bullish view will fail only if the Sensex breaks below 79,500. If that happens, a drop to 77,000 will be seen.
Handy Midcap 150 (21,490.90)
The support at 20,800 held up very well last week. The Nifty Midcap 150 index has risen very well from the low of 20,807.90. Last week’s rebound action has provided some relief.
The resistance is in the region 21,550-21,600. A strong break above 21,600 could take the Nifty Midcap 150 index to 22,150 in the near term. In the event of a break above 22,150, the increase will extend to 22,800-22,850.
Such a rise will keep the broader bullish view intact. A break above 22,850 will then pave the way for the Nifty Midcap 150 index to target 26,000-26,500 in the medium term and 28,000-28,500 in the long term.
The 20,800 and 20,600 levels are crucial supports. Only if it breaks below 20,600 does the index threaten to fall to 19,800.
Handy Smallcap 250 (15,763.45)
The index initially fell to a low of 15,111.30 and then rose again, recovering all the losses. The immediate support amounts to 15,400. Resistance is around 15,850. A break above this could initially take the index higher to 16,000 and eventually even to 16,500-16,700 in the coming weeks.
A strong break above 16,700 is needed to signal a bullish trend reversal. Only then will the top open and you will see 18,000 levels.
The region around 15,000 will be an important support. The Nifty Smallcap 250 index will come under pressure and fall further if it falls below this support. In that case, a drop to 14,000 is possible.
Published on January 31, 2026
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