Nifty Clings To Support: SEBI RAs Eye 25,300–25,600 Band For The Index

Indian equity markets remained rangebound on Thursday, with the Nifty ending above the 25,400 levels. The GIFT Nifty indicates a subdued session on Friday, even as analysts remain cautiously optimistic on the road ahead. 

SEBI-registered analyst Bharat Sharma of Stockace Financial Services noted that the Nifty index exhibited typical expiry-day behavior on Thursday, characterized by volatility in price movement and options premiums. However, the index maintained the support and resistance levels that were identified earlier. 

The sharp collapse from resistance in the last hour of trade on Thursday has introduced a new pattern for expiry days, he noted. The Nifty index found support again at the 200-day Exponential Moving Average (EMA). Still, the repeated test of this level raises concern, as this was the second attempt to breach this downside. 

For Friday, he sees immediate support at 25,380-25,400, which, if breached, could lead to deeper correction towards 25,300-25,250-25,180. On the upside, Sharma highlighted 25,480 as the immediate resistance, noting that opportunities for long positions are unlikely to arise below this level. 

If the Nifty index moves above 25,480, the next resistance levels are seen at 25,550, 25,600, and 25,650. 

Despite the recent range-bound sessions, Sharma’s positional view remains bullish, as the market appears to be undergoing a healthy retracement phase. He also adds that the impending US-India trade deal announcement is likely to impact the markets.

Ashish Kyal noted that the Nifty index needs to break above the critical resistance of 25,510 for an upside reversal to 25,580. On the other hand, if the Nifty closes below 25,360 on the 15-minute timeframe, it could lead to a short-term sell-off towards 25,300 levels. 

Kyal sees the overall trading range between 25,300 and 25,600. Within this range, the market favors intraday scalping strategies, unless the index decisively breaks out of this band.

And Prabhat Mittal pegged immediate support for the Nifty at 25,350 and resistance at 25,650, while he placed Bank Nifty support at 56,500 and resistance at 57,300.

https://stocktwits.com/prabhatmittal1/message/619919476 

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