Indian equity markets staged a strong recovery during the week, reversing some of the weakness seen in previous weeks. The Nifty began the week on a positive note and extended its recovery, although the broader technical setup remained challenging.

40 points. 06.

78%). 47, after slipping below it in the preceding weeks.

This recovery is significant because it has, at least for now, prevented a deeper deterioration in the Index's long-term technical structure. The 200-week MA has historically served as an important reference point for the primary trend, and the Nifty's ability to move back above it has reduced the immediate risk of a structural breakdown.

However, this recovery should not yet be interpreted as a confirmed trend reversal. The Index continues to trade below its 20-week, 50-week, and 100-week moving averages, indicating that significant overhead resistance remains in place.

The immediate challenge is for the Nifty to sustain above the 200-week MA and build on the recovery. ET CONTRIBUTORSThe coming week is likely to see markets attempting to consolidate the previous week's gains.

While successfully reclaiming the 200-week MA provides a positive backdrop, multiple overhead resistance levels may prevent an unrestricted upward move. The 23,300 and 23,550 levels are likely to act as immediate resistance.

Support comes in at 22,950 and 22,650. The trading week will also be truncated, with Tuesday, October 20, a trading holiday due to Dussehra.

29. It remains below the neutral 50 mark, indicating that underlying momentum remains relatively weak despite the recent recovery.

It remains neutral and shows no divergence against price. The weekly MACD remains bearish and trades below its signal line.

Pattern analysis on the weekly chart highlights the importance of the area around the 200-week MA. The Nifty has been trading in a broad consolidation structure after its earlier highs, with the lower boundary marked by a horizontal trendline that converges with the 200-week MA, making the 22,500–22,650 region an important confluence support zone.

The recent decline briefly threatened this structure; however, the subsequent recovery has helped the Index move back above this critical area. The Index will need to negotiate these barriers before the primary uptrend can meaningfully resume.