Indian equity benchmarks are expected to begin trading higher on Wednesday January 28 because Asian markets and Wall Street delivered positive market indicators. NIFTY futures at GIFT City advanced 19 points to 25,446 because traders showed positive market sentiment before the upcoming budget announcement.
Tuesday’s trading session experienced high volatility but banking stocks showed strong performance through HDFC Bank State Bank of India ICICI Bank and Axis Bank. The SENSEX closed 320 points higher at 81,857 while the NIFTY50 index reached a 127 points increase to 25,175. The NIFTY50 index experienced a decline of almost 3% during the January F&O series according to NSE data.
Asian Markets Update
The majority of Asian markets showed upward movement after Wall Street achieved its highest-ever closing price. The Shanghai Composite in China saw an increase of 0.23% while the KOSPI index in South Korea rose by 1.4% and the Hang Seng index in Hong Kong showed a 1.06% increase. The Nikkei index in Japan experienced a 0.6% decrease.
Wall Street Snapshot
The S&P 500 reached an all-time high after it increased by 0.4% during the night. Nasdaq increased by 0.9% while Dow Jones experienced a 0.8% decline. Investors are currently waiting for the Federal Reserve to announce its policy decision which will take place later on Wednesday. The market anticipates no changes to interest rates because the economy shows steady growth and employment conditions remain unchanged.
FII/DII Activity
On Tuesday, foreign institutional investors (FIIs) sold shares worth ₹3,068 crore while domestic institutional investors (DIIs) purchased shares worth ₹9,000 crore according to NSE data. According to NSDL, FIIs have sold shares worth ₹36,811 crore during the current month.
Stocks to Watch
- Vodafone Idea completed its third quarter of fiscal year 2026 with a net loss of ₹5,286 crore while its subscriber base decreased by 3.4% compared to the previous year and 4G and 5G postpaid customers increased.
- Titagarh Rail Systems and ABB India established a contract which includes propulsion systems and technology transfer rights for 25 kV driverless metro system projects.
- PC Jeweller achieved a 28% increase in consolidated net profit which reached ₹190.10 crore during Q3 FY26 because of higher festive season sales.
- TCS will spend ₹330 crore to establish a new delivery and innovation center in Londrina Brazil which will generate 1600 employment opportunities and finish its construction work in 2027.
Technical Outlook
The NIFTY50 index showed upward buying strength when it closed above the 200-EMA level which was set at 25,162 on Tuesday. The experts predict that the index will stay within the 200-EMA range until the budget announcement occurs. The options market shows that 25,000 serves as solid support while 25,500 functions as major resistance according to open interest patterns which exist for the 03 Feb expiry.
The market setup demonstrates that investors maintain a positive outlook while they observe budget developments and worldwide market movements and foreign institutional investor and domestic institutional investor trading activities for market direction.
