Bajaj Broking Closing Market Commentary for 20th February 2026

Markets staged a strong rebound on February 20th, recovering a portion of the previous session's losses, with the Nifty closing above 25,550 on the back of broad-based buying, except in IT stocks. After a cautious start amid concerns over US-Iran tensions, firm crude prices, and weakness in IT, the indices picked up momentum in early trade. Buying gradually strengthened through the session, pushing the Nifty to an intraday high of 25,663.55, before mild profit booking in the final hour capped the gains. By the close, the Sensex advanced 316.57 points (0.38%) to 82,814.71, while the Nifty gained 116.90 points (0.46%) to settle at 25,571.25. Broader markets delivered a mixed performance, with the Nifty Midcap index rising 0.5%, whereas the Smallcap index ended marginally in the red. Barring IT (down 1%) and Media, all sectoral indices closed in the green, led by Power, Metal, Capital Goods, and PSU Bank stocks, which advanced around 1-2%.

Nifty Outlook

The index formed a decent bullish candle with an upper shadow on the daily chart, indicating a bounce from lower levels while also highlighting supply at higher zones. It is currently trading below its 21, 50, and 100-day EMAs, with the next strong and reliable support placed near the long-term 200-day EMA around 25,250. In the near term, the index is expected to consolidate within a broad range of 25,000-26,000, maintaining a sideways bias. Volatility remained elevated, with India VIX witnessing a spike amid lingering geopolitical concerns. On the downside, immediate support is seen at 25,350, followed by 25,200, which aligns closely with the 200-day EMA and could act as a key cushion. On the upside, resistance is placed at 25,650 and 25,720, where any pullback towards higher levels is likely to face selling pressure.

Bank Nifty Outlook

Bank Nifty displayed relative strength, pulling back from the lows while holding above its 21-day EMA near 60,380. This was mainly lead by PSU bank basket. The index formed a bullish candlestick that recovered nearly half of the previous session's losses, indicating active buying at key levels, though some profit booking was visible at higher zones.

In the near term, the index is likely to trade within a broad range of 60,000-61,750, as long as it sustains above its key short-term averages. A decisive move beyond this range could trigger fresh directional momentum. On the upside, immediate resistance is placed at 61,400 followed by 61,750, while supports are seen at 60,800 and 60,500.

Source : Equity Bulls

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