Indian stock markets are expected to exhibit range-bound trading on Friday, January 30, 2026, as investors brace for the Union Budget scheduled for February 1. Domestic factors, most notably the Economic Survey, alongside global developments in currency and crude oil markets, are likely to sustain heightened volatility.
Mixed Global Cues and GIFT Nifty Trends
Trends on the GIFT Nifty indicate a weak start for the Indian benchmark indices. The GIFT Nifty was trading around the 25,435 level, a discount of nearly 101 points from the Nifty futures' previous close. Global markets are showing mixed signals, which could contribute to the subdued opening. US equity futures experienced a slip after Apple Inc. cautioned that rising component costs might squeeze profit margins, amplifying concerns about whether significant tech firms' AI spending will yield sufficient returns.
Asian markets, however, opened on a positive note. Japan's Nikkei 225 and Topix indices saw gains, while South Korea's Kospi and the small-cap Kosdaq also advanced.
Thursday's Market Performance
On Thursday, the Indian stock market closed higher, marking its third consecutive session of gains, with the Nifty 50 reclaiming the 25,400 level. The Sensex rose by 221.69 points, or 0.27%, to close at 82,566.37, while the Nifty 50 settled 76.15 points, or 0.30%, higher at 25,418.90. Broader market indices also demonstrated resilience, with the Nifty Midcap and Small-cap indices up 0.18% and 0.20%, respectively. Sectorally, gains were driven by metal, realty, private banking, power, energy, and oil & gas stocks, which saw advances between 0.6% and 3%. Conversely, the pharma, PSU banking, IT, FMCG, and auto sectors experienced declines of 0.7-1%, reflecting mixed investor sentiment.
Key Factors Influencing Market Sentiment
The Economic Survey for FY26, projecting India's GDP growth at 6.8-7.2% for FY27, has provided a constructive macroeconomic backdrop ahead of the Union Budget. However, global cues remain cautious following the Federal Reserve's decision to hold interest rates steady. Currency and crude oil movements are also contributing to market volatility; the rupee hit an all-time low of 92 against the US dollar, while Brent crude prices have risen above $70 per barrel amid escalating US-Iran tensions.
Analyst Perspectives
Siddhartha Khemka, Head of Research at Motilal Oswal Financial Services Ltd, noted that the market sentiment was supported by the Economic Survey. Ankit Gohel noted Nifty 50 formed a small bodied bullish candle with a long lower shadow on the daily chart, highlighting the presence of dip buying interest.
Trading Strategies and Outlook
Analysts suggest that while broader indices may consolidate within technical ranges, stock-specific opportunities could drive market action. According to Bajaj Broking Research, top stock picks for January 30, 2026, include State Bank of India (SBI) and Jayaswal Neco Industries.
The Indian benchmark indices witnessed a rebound during the current week, reflecting sustained bullish momentum in domestic markets. Sentiment remains positive, supported by optimism surrounding the India–EU Free Trade Agreement, which is expected to improve trade prospects and support medium-term economic growth.
Key Levels to Watch
Immediate support for the Nifty is placed at 25,150 levels, with key support around 25,000-24,900 levels. A move above 25,550 could open further upside towards 25,700-25,800 levels in the coming sessions. Resistance is expected at 25,500, with immediate support at 25,200.
Union Budget Anticipation
Volatility is expected to remain high due to the upcoming Union Budget on February 1, 2026, and volatile global cues. The market is expected to remain volatile ahead of the crucial budget session.
