Stock Market Technical Analysis | 12 to 16 Jan 2026 Weekly Wrap

Markets stayed choppy last week, but beneath the headline numbers, sector rotation, derivatives data, and institutional flows revealed important cues for active investors.

Expert recommendation by:

• Mr. Ketan Kaushik - Derivative Analyst

Equity

• Benchmark Index traded volatile in the previous week before closing with 0.04% gain at 25694 level. Banking Index outperformed the benchmark index as it closed with 1.42% gain at 60095 level.
• Among the Nifty constituents, ONGC and TECHM outperformed the benchmark index as they closed with 5.59% and 5.58% gains while CIPLA and LT underperformed as they closed with 4.65% and 4.19% cut respectively. Among the Bank Nifty constituents UNIONBANK outperformed the benchmark index as it closed with 8.56% gain while IDFCFIRSTB
  underperformed the benchmark index as it closed with 2.57% cut.
• Among sectors, NIFTYPSUBANK index outperformed the benchmark index during the previous week as it closed with 4.80% gain while NIFTYREALTY index underperformed as it closed with 2.40% cut. Broader market outperformed the benchmark index as both MIDCAP index and SMALLCAP index closed with 0.20% and 0.46% gains respectively.
• Volatility index (India VIX) closed with 4.03% gain at 11.37 level.
• FII were net sellers as they sold stocks worth Rs 14,266 Cr while DII were net buyers as they bought stocks worth Rs 16,174 Cr during the previous week in the cash segment.
• Globally, equity markets traded mixed as US market (DJIA) closed with 0.29% cut while European markets (STOXX 600) closed with 0.77% gain

Derivatives

• Derivatives data for Nifty suggest max OI addition at 25900 call and 25500 put with max OI at 26000 call and 25500 put side (20th Jan expiry). Nifty cumulative PCR closed at 0.76 for Jan 16.
• Derivatives data for Bank-nifty suggest max OI addition at 60200 call and 60000 put with max OI at 60000 call and 59500 put side (27th Jan expiry). Banknifty cumulative PCR closed at 1.11 for Jan 16.

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Performance:

Indices

Source: NSE

Sector Gainers/Losers

Source: NSE

FII / DII ACTIVITY (WEEKLY)

Source: NSE

SUPPORT/RESISTANCE LEVEL FOR UPCOMING WEEK

Source: NSE

DAILY EXPONENTIAL MOVING AVERAGE

Source: NSE

TECHNICAL OUTLOOK

NIFTY (WEEKLY)

• Benchmark index traded volatile in the previous week and closed with indecisive candlestick formation on the
  weekly chart
• Benchmark index is likely to trade volatile in the coming week
• Benchmark Index has support at 25,300–25,100 level and resistance at 26,050–26,250 level

BANKNIFTY (WEEKLY)

• Banking index outperformed the benchmark index and closed with bullish candlestick formation on the weekly chart
• Banking index is likely to trade volatile similar to the benchmark Nifty 50 index, in the coming week
• Banking index has support at 59,000-58,500 and resistance at 61,000 -61,500 level

FINNIFTY (WEEKLY)

• FINNIFTY index underperformed the banking index and closed with indecisive candlestick formation on the weekly chart
• FINNIFTY is likely to trade in line with the banking index in the coming week
• FINNIFTY has support at 27,100-26,900 level and resistance at 27,900-28,100 level.

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Market FAQs – Weekly Summary

Why did Bank Nifty outperform the broader market?

Bank Nifty gained due to strong buying in PSU banks, especially Union Bank, supported by improving sentiment and institutional participation.

What does rising India VIX indicate?

A higher VIX signals increased uncertainty and short-term volatility, suggesting cautious positioning by traders.

How important are FII and DII flows right now?

Persistent FII selling is being counterbalanced by strong DII buying, which is helping prevent deeper market corrections.

What does derivatives data suggest for Nifty?

Options data shows resistance near 26,000 and support around 25,500, indicating a likely range-bound movement in the near term.

Before You Trade, Strengthen Your Foundations with These Guides

• For a stronger understanding of indicators such as RSI, VWAP, and trendlines, check our 👉 Technical Analysis Fundamentals section.
• Want to refine your risk-reward planning? Explore our insights on 👉 Position Sizing & Risk Management Strategies.
• Understand the sectoral trends impacting stocks like Asian Paints. 👉 Consumer Durables Sector Analysis
• Learn how to interpret derivatives data for better trading decisions. 👉 Advanced Trading Strategies