Nifty’s recent rise can be attributed to short covering ahead of the monthly expiry, which often results in a surge as traders close their short positions.
Currently, the index faces a strong resistance zone around 25,000–25,100. A clear move above this range could indicate a trend change or a shift towards a more bullish outlook. If Nifty does not decisively cross this resistance, the market is expected to remain neutral to sideways, meaning price action could stay range-bound without a clear direction.
Additionally, 24,600 will act as a strong support level. As long as Nifty stays above 24,600, market sentiment should remain stable, supporting a constructive stance. A break below this level could signal increased caution.
Summary:
Rise driven by short covering ahead of expiry.
Strong resistance at 25,000–25,100.
24,600 will act as strong support.
Above 25,100: Trend change or bullish breakout likely.
Below 25,100: Market remains neutral/sideways.
Above 24,600: Sentiment stays steady; below may warrant caution.
Unless Nifty crosses above the resistance zone or drops below strong support, the outlook remains stable and sideways.
Currently, the index faces a strong resistance zone around 25,000–25,100. A clear move above this range could indicate a trend change or a shift towards a more bullish outlook. If Nifty does not decisively cross this resistance, the market is expected to remain neutral to sideways, meaning price action could stay range-bound without a clear direction.
Additionally, 24,600 will act as a strong support level. As long as Nifty stays above 24,600, market sentiment should remain stable, supporting a constructive stance. A break below this level could signal increased caution.
Summary:
Rise driven by short covering ahead of expiry.
Strong resistance at 25,000–25,100.
24,600 will act as strong support.
Above 25,100: Trend change or bullish breakout likely.
Below 25,100: Market remains neutral/sideways.
Above 24,600: Sentiment stays steady; below may warrant caution.
Unless Nifty crosses above the resistance zone or drops below strong support, the outlook remains stable and sideways.
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The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.