The Nifty MidCap 100 index is throwing up one of the cleanest inverted head and shoulders patterns we’ve seen in months. With the neckline breakout happening around the 60,250 zone, the pattern projection points toward an ambitious — yet very possible — target close to 72,000.
According to Ashish Kyal, CMT and Founder of Waves Strategy Advisors, this setup indicates a strong bullish undertone, and traders should consider buying on dips as long as the momentum stays intact.
Midcap Index: A Breakout in the Making
The MidCap 100 has already logged its highest weekly close at 60,739, signaling strength even as global conditions remain mixed. Despite India still operating under a 50% tariff environment, midcaps continue to outperform — a sign of how resilient domestic equities have become.
If the breakout sustains, the move toward 72,000 may unfold quicker than expected, supported by improving breadth and steady institutional flows.
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Nifty 50: Breakout on Cards, Elliott Wave Signals 3rd Wave Rally
On the frontline index, Nifty 50 looks poised for a breakout after three weeks of weakness. The latest weekly candle closed above the previous week’s high — a subtle but reliable momentum signal.
Kyal believes Nifty is likely entering the 3rd wave of an Elliott Wave upmove, often considered the strongest leg in a trend. If this plays out, the index may comfortably stretch toward 26,400 by the second half of this month.
Key Nifty Support Level
Immediate support sits around 25,740, the low made on Bihar election result day.
A slip below this may trigger short-lived consolidation, but the broader trend remains bullish unless this level breaks decisively.
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Bank Nifty: Market Leader Aiming for 60,000
Bank Nifty has been the torchbearer of this rally for several months, hitting lifetime highs ahead of other indices. Prices are once again hovering near the previous swing high and look ready for the next leg up.
Kyal expects the index to head toward 60,000, as long as 57,800 remains intact as support.
PSU Banks Continue to Outshine
PSU banks have been outperforming on the weekly charts.
Private banks may soon join the party, adding fuel to Bank Nifty’s upside trajectory.
From a structural standpoint, Bank Nifty also appears to be stepping into a 3rd wave rally, similar to Nifty and Midcaps — a strong signal for momentum traders.
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Overall Market Outlook
All major indices — Nifty, Bank Nifty, and Midcap 100 — are aligning into powerful bullish patterns. Strong breakouts, positive market breadth, and supportive Elliott Wave structures point toward continued upside.
For positional traders, dips continue to offer buying opportunities, with clear trend support across sectors.