The Indian stock market posted weekly gains of around 1% for the week ending October 3, buoyed by the Reserve Bank of India’s (RBI) monetary policy update. While the RBI kept policy rates unchanged, its outlook on inflation and growth, along with the dovish tone of Governor Sanjay Malhotra, boosted market confidence.
The Nifty 50 closed at 24,894 on Friday, nearing the key 25,000 mark, largely supported by strength in banking stocks. The Nifty Bank index rose over 2% during the week.
Jigar S. Patel of Anand Rathi Share and Stock Brokers said the RBI’s balanced stance helped ease investor concerns, triggering a rally in banking stocks that lifted the broader market. He noted that Nifty rebounded from the oversold 24,600–24,500 zone, forming a key demand area.
Patel added that a sustained close above 25,000 is crucial to confirm a short-term base. If this happens, the index may rally toward 25,200–25,350. On the downside, support is seen near 24,500–24,400.
Stock Picks:
NTPC: Buy at ₹345–₹335, stop loss ₹320, target ₹375. The stock broke out of a trendline, with a pullback and reversal, showing strong demand near ₹325.
ITI: Buy at ₹316–₹310, stop loss ₹290, target ₹350. A trendline breakout and close above the Ichimoku Cloud support a bullish outlook.
