Indian Markets Poised for New Highs on RBI Boost, Technical Rebound

• Indian equity markets traded in a tight range, with the Nifty 50 ending the week nearly unchanged (-0.06%).
• The RBI surprised markets with an interest rate cut, raised its FY26 GDP growth forecast to 7.3%, and lowered inflation projections, fostering optimism.
• Sector performance was mixed; IT surged 3.5%, while Consumer Durables, Defence, Media, and Capital Markets declined.
• Divergence continued as Bank Nifty gained for the sixth week, but the Nifty Smallcap 100 declined for the third consecutive week.
• Technical indicators suggest the broad market selloff, especially in small-caps, may be nearing exhaustion, with oversold conditions observed.

Why It Matters: Investors should watch for a potential Indian market rebound driven by RBI and technicals.