Momentum Intact: Nifty Eyes 25,500, Market Signals Stay Positive
Benchmark indices continued their positive momentum, with Nifty closing 200 points higher, while Sensex was up 700 points.
Sector Performance
Among sectors:
- Media index outperformed, gaining 1.75%
- Defence index was the biggest loser, declining 2%
Technical View
Technically, after a gap-up open, the market maintained its positive momentum throughout the day. A bullish candle on the daily chart and an uptrend continuation formation on the intraday chart indicate further upside from current levels.
Key Support Zones:
- 25,000 / 82,000
- 25,100 / 82,300
As long as the market is trading above these levels, the bullish sentiment is likely to continue.
Immediate Resistance Zone:
- 25,320 / 83,000
Potential Upside Levels (on successful breakout):
- 25,450 – 25,500 / 83,500 – 83,650
However, below 25,100 / 82,000, the uptrend may weaken.
Bank Nifty Range
- Would remain within a narrow trading range of 56,800 and 56,400 levels.
Strategy
- Buy if Nifty crosses 25,320 with a stop loss at 25,100
- Sell if Nifty breaks 25,100 with a stop loss at 25,200
Derivative Insights
Market Recap
- Nifty closed 0.80% higher, sustaining bullish momentum throughout the session.
- Nifty Midcap 100 underperformed with a 0.44% gain.
Options Market Insights
| Metric | Data |
|---|---|
Significant Call OI | 25,500 Call |
Significant Put OI | 25,000 / 25,200 Put |
Put-Call Ratio (PCR) | 1.13 |
Max Pain | 25,200 |
VWAP Range | 25,130 – 25,300 |
Sentiment | Put writing with Call unwinding → Bullish Undertone |
Index Futures Positioning
Overall, the combination of bullish price action, positive sectoral cues, and supportive derivatives data suggests that the current market momentum may continue, provided key support levels are held.
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