Indian Markets Eye Year-End Rally Amid Mixed Signals & Sector Shifts

• Nifty 50 concluded a turbulent week with a 0.31% slip, despite lower than usual FII selling since late September.
• Information Technology stocks surged 3.47%, leading gainers, while most sectors like FMCG, Pharma, Energy, and Realty closed negative.
• Despite Nifty's third consecutive weekly loss, technical indicators like the Rohit Momentum Indicator (RMI) and strengthening market breadth suggest underlying resilience.
• Midcap and Smallcap indices closed positive, hinting that prolonged selling pressure in the broader market may be subsiding.
• Sector rotation shows Nifty IT sharply improving, while Nifty Metal and PSU Bank weaken; historical precedent suggests a year-end rally is possible.

Why It Matters: Indian markets show mixed signals with underlying strength, hinting at a potential year-end rally despite recent dips.