The index failed to sustain above the 23,350 mark and slipped into weakness from the mid to later part of the session. A subsequent 277-point decline from the intraday high trimmed most of the gains by the close.
The Nifty still ended 112 points higher at 23,114. However, on a weekly basis, the index closed marginally lower by 0.16%.
Among key movers, JSW Steel, Infosys and Coal India were the top gainers on the index, while Hindalco, HDFC Bank and HDFC Life emerged as the major laggards.
Sectoral performance remained mixed, with IT, PSU Banks and Pharma leading the advances, while Realty, Financial Services and Private Banks underperformed.
Broader markets showed a divergent trend. The Nifty Midcap 100 rose 0.67%, while the Nifty Smallcap 100 ended largely flat.
On the macro front, the Indian rupee resumed its decline to fresh record lows after Thursday’s holiday, weighed down by persistent foreign fund outflows and rising crude oil prices.
The combination of a widening trade deficit and mounting inflation concerns has strengthened expectations that the RBI may maintain a status quo in its April policy meeting.
Siddhartha Khemka of Motilal Oswal said the overall market outlook remains cautious, with upside likely to be limited in the near term.
Nagaraj Shetti of HDFC Securities said the near-term trend for the Nifty remains weak and the current bounce could be a sell-on-rise opportunity.
He added that a move below 22,900 may open the door for a decline towards 22,500, while immediate resistance is placed at 23,380.
Rupak De of LKP Securities said the trend could improve in the short term, with potential upside towards the 23,400-23,600 zone.
De added that 22,950-23,000 remains a crucial support band, below which bearishness may re-emerge.
Vinay Rajani of HDFC Securities said the index must hold its recent swing low at 22,930. On the upside, 23,378 and 23,868 remain critical resistance levels for the coming sessions.
Nilesh Jain of Centrum Finverse said immediate support is placed at 22,900, and a breach below this level could trigger further downside towards 22,600. On the upside, resistance is seen near the gap zone around 23,500.
