Aetram Research India: NIFTY ENERGY Weekly Sector Outlook
Nifty Energy Bears Stay Dominant; Recovery Above 36,330 May Improve Structure, While 34,000 Loss Risks Fresh Pressure - 24.10.2026
Current Market Price: 34,520.05
Market Prediction:
- Nifty Energy remains firmly bearish after extending its lower-high, lower-low sequence and staying beneath the major moving-average cluster. RSI at 37.52 and CCI at -138.07 confirm weak momentum, while ADX at 49.23 signals strong trend conviction. Holding 34,000 may invite relief buying; recovery improves above 36,330.
Upcoming Events:
- Persistently strong electricity demand and tightening coal inventories may support selected power producers. (Positive Catalyst)
- Moderating October spot electricity prices could pressure near-term realisation expectations for merchant-power generators. (Negative Catalyst)
- Continued renewable-capacity expansion may strengthen long-term earnings visibility across diversified energy companies. (Positive Catalyst)
Major Support and Resistance:
- Support: 34,000, 33,600, 33,000
- Resistance: 35,000, 35,685, 36,330
Volume Analysis:
- Selling expanded sharply during the latest decline, while the rebound from 34,000 attracted stronger participation. However, volume still reflects defensive positioning, and sustained accumulation above 35,000 is needed before meaningful trend improvement becomes credible.
Final Take Away:
- Energy remains one of the weaker sector structures, with price far below its major average cluster and ADX confirming strong bearish control. Oversold momentum may trigger rebounds, but 35,685–36,330 remains the crucial recovery barrier.
Next Week Prediction:
- Nifty Energy may attempt recovery from 34,000, but rallies could remain vulnerable below 35,685; renewed weakness under 34,000 may extend toward 33,600–33,000.
Scenario-Based Outlook
- Bullish Scenario: Above 35,685, price may move toward 36,330–36,660 zone
- Bearish Scenario: Below 34,000, downside risk toward 33,600–33,000 zone
- Neutral Scenario: Between 34,000–35,685, consolidation likely
Disclaimer: This research report is for informational purposes only. This is not an offer to buy or sell securities. Past performance is not indicative of future results. There is no guarantee of returns. Investments in securities are subject to market risks including loss of capital. Investors should consult their financial advisor before making any investment decisions.
