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The Indian equity market has entered the Diwali week (Samvat 2083) on a strong note, staging a sh...

Posted: 02 Nov 2026

The Indian equity market has entered the Diwali week (Samvat 2083) on a strong note, staging a sharp broad-based recovery to reverse its recent streak of losses. Key Technical Levels & Resistance NSE Nifty 50 (INDEXNSE:NIFTY_50): The index opened with a decisive gap-up, pushing past its immediate technical resistance hurdle at 23,200. Technical analysts note that clearing this zone shifts the momentum, paving the way for the Nifty to test the 23,600 to 24,000 range. On the downside, 22,850 acts as immediate support, with a stronger cushion positioned between 22,400 and 22,600 where the 200-week EMA sits. BSE Sensex (INDEXBOM:SENSEX): The benchmark index gained heavily to trade past 75,260. Analysts map key upside resistance at 81,450, while long-term support remains anchored around the 71,600 level. Core Market Drivers Easing Commodity Headwinds: A critical catalyst for the rebound has been a ~2.5% drop in international Brent crude prices down to approximately $110 per barrel. Lower oil prices significantly reduce India’s import bill, providing an immediate margin relief outlook for automotive, capital goods, and infrastructure sectors. Corporate Earnings Boost: Index heavyweight Reliance Industries Ltd (NSE:RELIANCE) jumped nearly 6% following stronger-than-expected corporate results, heavily anchoring the index rally . Sectoral Performance: The rally has broad participation. While IT and Pharmaceuticals originally led the defensive turnaround, recent sessions have seen strong buying return to Energy, Infrastructure, and materials. Conversely, the FMCG sector remains under relative pressure, with the Nifty FMCG index hovering near its correction lows. Liquidity Dynamics: Massive domestic liquidity fueled by record Systematic Investment Plans (SIPs) and domestic institutional inflows continues to offset heavy Foreign Portfolio Investor (FPI) outflows. Historically, November and December stand as the seasonally strongest months for Indian equities, with historical data from the last 25 years showing positive performance over 60% of the time during these two months.