Bank Nifty closes at record high, here's the technical outlook for the 12-stock index

The Bank Nifty hit another record high on Monday as Sensex and Nifty rallied for the sixth straight session. The bank Nifty reached a record high of 59,000, gaining 483 pts on Monday. Later, the index closed at record high of 58,962, rising 445 pts against the previous close of Rs 58,517. The rally in Bank Nifty was broad-based, with all 12 constituents ending in the green.

The BSE banking index too surged 507 pts to close at 66,156 today. 

Ponmudi R, CEO of Enrich Money said, "Bank Nifty extended its winning streak and finished the session on a strong note near 58,969, right at the upper boundary of the long-term rising channel traced from early 2024. The 59,100–59,300 zone has historically acted as a stiff supply region, making it a crucial inflection point for the index. A decisive breakout above this band could open the gates for a move toward the psychologically important 60,000 mark. On the downside, support at 58,400–58,000 remains well-anchored, backed by steady demand in financials."

Vatsal Bhuva, Technical Analyst at LKP Securities said, "Bank Nifty had been consolidating at higher levels, indicating a brief pause in its ongoing rally. On Monday, a breakout from this consolidation zone was witnessed on the daily chart, confirming renewed bullish momentum. This breakout highlights the strong grip of bulls on the index. As long as the index sustains above 58,000, where its 20-day EMA is positioned, it remains a buy-on-dip candidate. Immediate support lies at 58,200, while potential resistance is expected around 59,300 and 59,500 levels."

Meanwhile, Sensex ended 388 pts higher at 84,950 in the current session. The 50-stock Nifty rose 103 pts to 26,013, climbing for the sixth straight session.