GIFT Nifty indicates a positive start for Sensex, Nifty; key levels to track on July 17

India VIX declined further by 2.1 percent to settle at 11.24, continuing to hover well below the critical 15-mark.

Benchmark indices Nifty and Sensex are likely to open higher on July 17, buoyed by firm global cues after Wall Street closed in the green. Market mood got a slight lift after Donald Trump ruled out firing US Fed Chair Jerome Powell and hinted at a potential trade deal with India. However, persistent concerns over Q1 earnings and tariff-related uncertainties continue to weigh on investor sentiment. Around 7:40 am, GIFT Nifty was up 0.2 percent at 25,280.

Dalal Street saw a choppy session yesterday as Nifty 50 and Sensex recovered from the day's low by the afternoon session of trade, but a lack of buying failed to keep the indices solidly above the flatline.

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On July 16, Foreign Portfolio Investors (FPIs) were net sellers to the tune of Rs 1858 crore worth of shares in Indian equities, while domestic institutional investors (DIIs) net bought Rs 1224 crore worth of shares, according to provisional NSE data.

Here are the important levels to watch out for in today's session

Nifty index is exhibiting early signs of a potential pullback, with persistent buying interest emerging at lower levels, signalling a tug-of-war between bulls and bears. The index has consistently closed above its previous day’s low, indicating a gradual build-up of momentum and the formation of a strong base near the psychologically significant 25,000 level, which also aligns with the 50% Fibonacci retracement, acting as a crucial support. However, the index continues to oscillate below its immediate hurdle at 25,350. Until a breakout occurs, upward moves may remain capped.

"Nifty Bank index is hinting at a resurgence in bullish sentiment, supported by consistent buying activity from lower levels, with dips being actively absorbed, highlighting underlying strength," Dhupesh Dhameja of SAMCO Securities said. "Encouragingly, the index continues to sustain above its 10-day and 20-day EMAs, both of which are upward sloping, providing cushion at lower zones and reinforcing the bullish undertone. The 57,350–57,400 range has now become a key resistance pocket or supply zone. A clean breakout above 57,350 is essential to signal trend continuation on the upside," he added.

India VIX declined further by 2.1 percent to settle at 11.24, continuing to hover well below the critical 15-mark. This prolonged low-volatility phase signals that while sellers remain active at higher levels, there is no sense of panic in the market. The muted VIX suggests a controlled consolidation rather than a fear-driven selloff, highlighting a lack of directional conviction.

The Put-Call Ratio (PCR) has improved slightly to 0.80 from 0.75, reflecting an uptick in put writing. However, the relatively low PCR still underline a bearish undertone in the market.

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