Nifty Rallies More than 600 Points On the Back of US-India Trade Deal

Mr. Vinay Rajani, Senior Technical & Derivative Research Analyst, HDFC Securities

The Nifty opened with its largest single-day absolute gain of over 1,200 points today, fueled by the long-awaited US tariff cuts on Indian imports. Investors cheered the resolution of months-long delays in the India-US trade agreement, a key drag on recent market performance. After a massive 1,220-point gap-up open, Nifty hit a day's high of 26,341-just shy of its all-time high-before profit booking in the first hour followed by some recovery from lower levels. The index settled up 639 points at 25,727, marking its highest one-day percentage gain since May 12, 2025. Bank Nifty touched a fresh all-time high of 61,764 and closed with a robust 2.4% advance, while NSE cash market volumes surged 35% from the prior session.

In the Nifty basket, Adani Enterprises, Adani Ports, and Jio Financial Services led gains, while Tech Mahindra, BEL, and SBI Life faced profit booking from highs. All sectoral indices ended green, led by Realty, Chemicals, and Financial Services. Broader markets mirrored the rally, with Midcap 100 index up 2.84% and Smallcap 100 index up 2.82%; BSE advance-decline ratio strengthened to 3.35:1.

The Indian Rupee delivered its biggest single-day gain since December 18, 2018, closing at 90.27 vs. USD-its highest in three weeks-driven by "risk-on" sentiment and exporter dollar unwinding post-trade deal news.

Technically, Nifty's 1,770-point recovery from the recent swing low of 24,571 has reclaimed levels above the 20/50/100/200-day EMAs, confirming a bullish trend reversal across timeframes. Nifty's Key support lies in the 25,500-25,650 band, with resistance at 25,863 and 26,373.

Source : Equity Bulls

Keywords

HDFCSecurities Nifty US India TradeDeal