Indian benchmark indices like Nifty 50, Sensex, and Nifty Bank remain on a positive trajectory despite modest declines, supported by strong support levels and continued foreign portfolio investor inflows, as technical charts signal room for further upward movement amid global risks.
Indian benchmark indices slipped modestly last week, but the pullback has done little to damage the broader chart structure, according to BusinessLine’s technical outlook. The publication said the Nifty 50, Sensex and Nifty Bank index remain on a positive footing, with support levels still seen as strong enough to contain further downside. That reading leaves room, in the paper’s view, for a fresh advance once the market regains momentum.
Foreign investors added to the constructive tone. BusinessLine noted that foreign portfolio investors bought Indian equities for a fourth straight week, bringing net inflows in the equity segment to about $388.63 million. That comes against a much noisier backdrop this year: Business Standard reported in February that FPIs had delivered ₹22,615 crore into Indian equities, the highest monthly inflow in 17 months, helped by an interim India-US trade deal, softer valuations and better corporate earnings. Yet those gains have not erased the broader picture of foreign caution.
Later reports showed how quickly sentiment turned. Business Standard said FPIs pulled ₹1.37 trillion from Indian equities in FY26, while Fortune India estimated total withdrawals at ₹2.2 lakh crore in 2026 as global growth worries, geopolitical strain and a stronger dollar weakened appetite for risk. Moneycontrol then reported that outflows reached ₹2.25 lakh crore by May, and Business Standard said June’s selling lifted the year’s withdrawals to ₹2.87 lakh crore before Rediff put June’s equity exodus at ₹49,340 crore. Against that background, BusinessLine’s point is that a sustained stretch of buying would matter more than a single week’s rebound.
On the charts, the article argues that the major indices still have room to climb if they hold near current support. It sees Nifty 50 keeping its broader bullish shape above key levels, Sensex retaining support around 77,500 and Nifty Bank having a path towards higher ranges if banking shares continue to stabilise. The same constructive view extends to mid- and small-cap stocks, although both segments still need decisive breakouts to confirm a stronger move.
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