Nifty Outlook for October 30: Nifty aims for 23,000 and beyond after strong Sensex expiry

Indian equity benchmarks staged a sharp rebound on Thursday, with the Nifty surging over 200 points as buying interest emerged at lower levels. After a muted start and initial hesitation, the index gained momentum through the session, briefly consolidating around midday before extending its gains to close at 22,936, up 1.05%.

The Nifty broke above the 22,800 mark after a volatile spell of consolidation over the past few sessions, while the positive close marked a recovery from its prolonged subdued performance.

Among Nifty constituents, Adani Ports and Adani Enterprises were the top gainers, while Trent and Maruti Suzuki ended among the biggest laggards.

Sectorally, all major indices except Nifty Auto and Nifty Cement closed higher. Nifty Realty, Nifty FMCG and Nifty PSU Bank led the gains, pointing to broad-based buying across sectors. The broader market also remained resilient, with the Nifty Midcap 100 and Nifty Smallcap 100 advancing for a fourth consecutive session.

The market recovery could extend, supported by hopes of diplomatic efforts to ease tensions between the US and Iran, improved domestic growth expectations following an upward revision to the Q2 FY27 GDP estimate, and intermittent buying by foreign institutional investors (FIIs).

Crude oil prices eased amid renewed hopes of diplomatic efforts to de-escalate the conflict in the Middle East. Meanwhile, the US Federal Reserve kept interest rates unchanged, signalling that it would assess incoming economic data before making further policy decisions.

Investors will track US GDP and labour market data on Thursday, followed by Eurozone GDP and unemployment data and the Bank of Japan’s policy decision on Friday. On the domestic front, stock-specific action is likely to remain in focus, with Varun Beverages, Welspun Living and Vinati Organics scheduled to announce their results on Friday.

Nifty outlook: Can the index sustain above 22,800?

Nagaraj Shetti of HDFC Securities said the Nifty’s short-term trend remains positive, with the index potentially advancing towards the next resistance at 23,200. He said dips could offer buying opportunities around the immediate support zone of 22,800-22,750, based on the concept of change in polarity.

Hitesh Rathi of Angel One identified 22,800 as immediate support, followed by a stronger support zone between 22,680 and 22,500. On the upside, the 23,100-23,160 range is likely to act as an immediate hurdle, with a stronger resistance zone at 23,400–23,450.

Sudeep Shah of SBI Securities said the 23,080-23,100 zone would be the next immediate hurdle. A sustained move above 23,100 could extend the ongoing pullback rally towards 23,250, while the 22,800-22,830 range is expected to provide strong support.

Vatsal Bhuva of LKP Securities said the Nifty had reclaimed its 20-day moving average (20-DMA), alongside a breakout from consolidation on the daily chart, indicating an improvement in its price structure. While 23,000 remains an immediate hurdle, he sees the index potentially moving towards its previous swing high of 23,175.

Bhuva added that the short-term outlook would remain positive as long as the Nifty sustains above its 20-DMA and the key support zone around 22,800, with 23,175 emerging as the next resistance level.