Sensex, Nifty set for a muted start after 4-day rally; key levels to track on June 30

India VIX continued its downward drift, sliding another 1.61 percent. Its sustained positioning below the 15-mark underscores a calm market environment, with low implied volatility

After a strong four-day surge, benchmark indices Nifty and Sensex are expected to open flat on June 30, with early cues pointing to a pause in momentum. Around 7:30 am, Gift Nifty futures were down 12 points at 25,769.

In the previous session, benchmarks held firm and wrapped the week with strong gains as easing geopolitical tensions following the Israel-Iran truce and optimism around a potential US-India trade were key tailwinds for the rally. The broader market was more impressive, with the Nifty Midcap and Smallcap 100 indices extending their winning streak to a sixth straight session.

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Foreign institutional investors snapped a three-day selling streak and turned net buyers, picking up equity shares worth around Rs 1,397 crore. Meanwhile, domestic institutional investors sold shares worth Rs 589 crore.

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

With the Nifty nearing an unfilled gap between 25,640 and 25,740, minor resistance could be encountered this week. A sustained move beyond 25,750 could reignite bullish enthusiasm, possibly propelling the index towards the next psychological resistance at 26,000. Conversely, any retracement towards the 25,500–25,400 zone would be considered a healthy pullback, likely to add fuel to the ongoing uptrend. The prevailing chart setup favours a ‘buy-on-dips’ approach as long as key support levels remain unbroken.

"The index has broken past the key 0.618 Fibonacci extension at 57,353, adding momentum to the rally. It also remains above the 10- and 20-day EMAs, signalling trend strength. A bullish candlestick on the weekly chart, with a close above 57,000 and the previous all-time high, confirms the breakout. A sustained move above 57,500 could open the door to 57,950. Any dip toward 56,900–56,800 may be a healthy pullback within the uptrend," Dhupesh Dhameja of SAMCO Securities said.

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India VIX continued its downward drift, sliding another 1.61 percent. Its sustained positioning below the 15-mark underscores a calm market environment, with low implied volatility indicating subdued fear and rising investor confidence, both of which support a stable, upward-trending market.

The Put-Call Ratio (PCR) stands at a healthy 1.08, signalling firm put writing activity and an ongoing bullish sentiment. Max Pain has shifted to 56,700, suggesting this level may act as a magnetic point for the approaching weekly expiry.

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