The NSE Nifty 50 has found support at the 25,250-25,300 levels after snapping its gaining streak over the last two trading sessions.
Unless the Nifty reclaims 25,650 on a sustained closing basis, the bias remains sell-on-rise. A breakdown below 25,250 could trigger fresh long unwinding and push the index toward 24,900, according to Dhupesh Dhameja, derivatives research analyst at Samco Securities.
The index is now hovering near the crucial 25,250–25,300 support zone, where the 0.618 retracement and 200-double exponential moving average converge, making this a critical make-or-break level for the near term, Dhameja said.
The index formed a bearish candle with a lower high and lower low as it gave up its last two sessions gains, signalling selling pressure on the monthly expiry session, according to Bajaj Broking Market Research.
"Nifty is seen consolidating in the range of 25,350-25,900 in the last eight sessions. Only a breakout or a breakdown below this range will signal the next direction trend," the brokerage said.
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Nifty Bank
Immediate support for the Bank Nifty lies in the 60,900–60,550 zone, according to Dhameja, while a decisive break-down below 60,500 could trigger profit booking toward 60,000. "On the upside, the 61,400–61,700 supply zone remains a critical hurdle; only a sustained close above 61,700 would confirm fresh bullish momentum," Dhameja said.
Bank Nifty formed a small bearish candle with a small real body and a long lower shadow signaling consolidation amid stock-specific action, Bajaj Broking stated.
"Bias remains positive and we believe dips should be used as buying opportunity, with short-term support seen at 60,500-60,200 levels being the confluence of the 20 days extended moving average and the key retracement of previous up move," the brokerage stated.
Market Recap
Indian equity benchmarks snapped a two-day gaining streak, wiping out all the gains it incurred in the last two trading sessions. The declines in the benchmark indices were led by HDFC Bank Ltd. and L&T.
The BSE Sensex closed over 1,000 points lower at 82,225, while the NSE Nifty 50 ended 1.1% lower to close below 25,450—below its crucial support level of 25,450 on F&O expiry day. The broader markets, represented by the NSE Nifty 500 Index, fell 0.7%, led by L&T Tech's 8.7% fall, followed by Affle and KPIT Technologies, which declined 7.2% and 6.3% respectively.
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