The market exhibited high volatility on the monthly expiry day but managed to extend its winning streak for the third consecutive session. After opening on a positive note, the market moved higher in the early part of the session. Intraday volatility occurred in the mid-session, but the markets ended largely higher.

The Nifty50 index held above the 23,200 mark, supported by Reliance Industries (RIL). The index recovered from its lows toward the end of the day, closing higher by 86 points at 23,250.

The broader markets lagged behind, with the Nifty Midcap 100 index ending flat. Meanwhile, the Nifty Smallcap 100 managed marginal gains of 0.12%.

Dabur shares ended 4.2% higher following the earnings announcement. The fast-moving consumer goods (FMCG) company said that the urban market has bottomed out, and the FMCG stock closed at the day’s high. Dabur India Ltd. CEO Mohit Malhotra told CNBC-TV18 in a post-earnings interaction that the company is aiming for mid- to high-single-digit growth in the 2026 financial year. Malhotra also said that the urban markets have bottomed out and that the outlook will only improve from here. Dabur is targeting low- to mid-single-digit volume growth going forward, he added.

With the FOMC meeting now behind us, the market’s attention shifts to the European Central Bank (ECB), which announced a 25-basis-point rate cut today to stimulate the sluggish eurozone economy. This marks the fifth ECB rate cut since June, which had been well telegraphed to the market, lowering the rate that the central bank pays on deposits from 3.0% to 2.75%.

Stocks like Bank of Baroda, Larsen & Toubro, Biocon, and Jindal Steel & Power, which are set to report their Q3 earnings after market hours on Thursday, will be in focus on Friday.

Investors will also keep an eye on stocks such as Vedanta, Sun Pharmaceutical Industries, ONGC, Nestle India, Bandhan Bank, LIC Housing Finance, IndusInd Bank, Cholamandalam Investment and Finance Company, Equitas Small Finance Bank, Inox Wind, Inox Green Energy, Punjab National Bank, and Epack Durable, among others, as they release their December quarter earnings tomorrow.

Foreign investors remained net sellers in the cash market on Thursday, while domestic investors were net buyers.

What do the Nifty50 charts indicate?

The Nifty remained volatile within a defined range on expiry day.
Nagaraj Shetti of HDFC Securities believes this market action is indicating strengthening upside bounce in the market. Having sustained above the initial hurdle of around 23,000-23,100 levels recently, the Nifty is now placed at another important cluster resistance of around 23,350-23450 levels.

Shetti said the short-term trend of Nifty continues to be positive. “The present market action is signaling that the upside momentum has started to gain strength near the hurdle. A decisive upside breakout of 23,350-23,450 levels is likely to open sharp short covering and also broad-based buying in the market. Immediate support is placed around 23,100 levels,” he added.

LKP Securities’ Rupak De sees support at 23,200, and a break below this level could trigger a decline towards 23,000. On the other hand, a decisive move above 23,300 might push the index towards 23,500.

The Nifty has rallied over 500 points in the last three sessions from its recent swing low of 22,786. Devarsh Vakil of HDFC Securities said the index faces immediate resistance at the previous swing high of 23,426, while support is expected in the 23,050-23,100 range.

Here are the stocks to watch ahead of Friday’s trading session:

Bank Of Baroda: Net profit up 5.6% at ₹4,837.3 crore as against ₹4,579.3 crore on a year-on-year basis. NII up 2.8% at ₹11,416.9 crore as against ₹11,101.3 crore. Gross NPA at 2.43% as against 2.50% QoQ. Net NPA at 0.59% as against 0.60% QoQ.

L&T: Net profit up 14% at ₹3,358.8 crore, compared to ₹2,947 crore YoY. Revenue up 17.3% at ₹64,668 crore as against ₹55,127 crore YoY. EBITDA up 8.6% to ₹5,759 crore. Margin at 9.7% as against 10.5% last year.

Biocon: The board has approved the purchase of 1.5% equity shares of Biocon Biologics for ₹555 crore. Post this purchase, Biocon’s stake in Biocon Biologics will increase to 90.2%.

JSW Steel completes acquisition of 100% equity shares of Thyssenkrupp Electrical Steel India for ₹4,158.6 crore.

Torrent Power gets certificate for 300 MW capacity commissioning from Gujarat Energy Development Agency.

Greenlam Industries: Board approves bonus issue of 1 share for every one share held.

Western Carriers bags order worth ₹170 crore from Hindustan Zinc.

Ircon International JV with AMRIL receives LoA for a project worth ₹631.2 crore, Ircon share ₹164 crore.