This Week in the Market: Nifty & Bank Nifty Outlook with Top Sector Trends

Nifty’s October closing has formed a bearish RSI divergence on the monthly chart near its lifetime high — a signal that the ongoing rally might be approaching exhaustion. However, according to the Elliott Wave structure, Nifty appears to be in its fifth and final wave, which typically leads to a new high before a major correction or crash.

For the coming week, the 25,615 level will act as a crucial resistance zone. Nifty needs to sustain above this level to maintain bullish momentum. A decisive breakout above 25,639, with price holding for at least 30 minutes, would confirm further upside potential. In that case, we may see buying pressure pushing prices higher toward 25,680 and 25,720, which will act as weak resistance zones.

On the downside, 25,557, 25,478, and 25,400 are expected to act as weak support levels — any breach below these could invite short-term selling pressure. Strong resistance lies near 25,600 and 25,643, and only a sustained move above these levels will strengthen the bullish view.

In short, Nifty remains bullish above 25,639, but traders should stay cautious as momentum signals warn of a possible reversal after this final wave.