Trading Plan: Can Nifty 50 sustain above 25,900, Bank Nifty hold 58,000 amid rangebound trading?

Nifty Trading Plan for October 24

The Nifty 50 sustained its upward journey for six days on the trot despite significant pressure at higher levels, which led the index to close off the day’s high, below 26,000. The index is expected to remain rangebound in the upcoming sessions, with immediate support at 25,700, while closing and sustaining above 25,900 can take the index toward the 26,000–26,100 zone. Meanwhile, the Bank Nifty needs to surpass 58,600 for a further upmove toward 59,000. Until then, it may consolidate with support at 57,800, followed by 57,300–57,250 being the key support zone, according to experts.

On October 23, the Nifty 50 rose 23 points to 25,891, while the Bank Nifty climbed 71 points to 58,078. The market breadth was supported by bears, as about 1,651 shares saw selling pressure compared to 1,196 advancing shares on the NSE.

Nifty Outlook and Strategy

Jay Mehta, Technical Research at JM Financial Services

Nifty has broken out above a 52-week consolidation, forming a cup-and-handle pattern, with the breakout occurring around 25,450–25,500, aligning with the pattern’s neckline and the swing high of September 18, 2025. Following the breakout, Nifty rallied up to 26,104, approaching a strong resistance zone near its all-time high of 26,277. Profit-taking in the second half of the latest session pulled the index below 26,000. Further profit booking may drive Nifty toward 25,800–25,700, and if the decline persists, it could retest the breakout neckline around 25,500 before resuming the rally. The overall setup remains bullish.

Key Resistance: 26,100, 26,180, 26,280

Key Support: 25,800, 25,700, 25,630, 25,500

Strategy: Seek buying opportunities on dips around 25,700 and 25,500. For aggressive traders, initiate short trades in Nifty Futures if the price breaks below 25,700, with a stop-loss at 26,150, targeting 25,630 and 25,500.

Om Mehra, Technical Research Analyst at Samco Securities

Nifty formed a bearish candle on the daily chart after a successive rise. On the hourly chart, a mild loss of momentum is visible, though the short-term trend remains constructive unless the index closes below 25,780.

The widening gap between the short-term moving averages highlights the strength of the prevailing uptrend, though it also indicates that the index is slightly overstretched in the near term. The RSI, hovering near 73, continues to reflect firm momentum. Support is placed at 25,700; however, a mean-reversion or time-based consolidation cannot be ruled out before the next leg of the upmove unfolds.

Key Resistance: 26,050, 26,100, 26,150

Key Support: 25,800, 25,750, 25,700

Strategy: Apply a Bull Call Spread strategy for the October 28 expiry by buying one lot of 25,900 CE at Rs 144.05 and selling one lot of 26,100 CE at Rs 55.40. This setup is designed to capitalize on a continued upside move while limiting downside risk in case of consolidation.

Stop-Loss: Hold the strategy until expiry, with the maximum Mark-to-Market (MTM) loss capped at Rs 4,000.

Target: Hold the strategy until expiry to achieve a maximum profit potential of Rs 8,351, or consider booking profits once MTM gains exceed Rs 5,500.

Hardik Matalia, Derivative Analyst at Choice Broking

Technically, the Nifty 50 saw a bearish candlestick formation on the daily chart, indicating temporary weakness and intraday volatility. Immediate support is seen around 25,800, followed by 25,700, while key positional support is near 25,400. Immediate resistance is at 26,000, with higher levels at 26,100. The short-term outlook remains sideways to bullish.

Key Resistance: 26,000, 26,100

Key Support: 25,800, 25,700

Strategy: Traders can buy on dips as long as the Nifty 50 holds above 25,400 (stop-loss), keeping an eye on resistance around 26,000–26,100 for profit booking.

Bank Nifty - Outlook and Positioning

Jay Mehta, Technical Research at JM Financial Services

Bank Nifty has shown relative strength compared to Nifty, achieving a breakout above its all-time high on October 17. The overall price structure remains bullish, despite mild profit-taking in the latest session from higher levels. Further profit booking could drive the index toward 57,800–57,750, potentially retesting the breakout neckline around 57,600 or lower if the decline persists. Hourly charts indicate multiple bearish divergences, suggesting short-term exhaustion in momentum.

Key Resistance: 58,580, 58,800, 59,000

Key Support: 58,000, 57,700, 57,600

Strategy: Seek buying opportunities on dips near 57,700 and 57,600. For aggressive traders, initiate short trades in Bank Nifty Futures if 57,600 is breached on the downside, targeting 57,250, 57,000, and 56,800.

Om Mehra, Technical Research Analyst at Samco Securities

While momentum remained strong, the RSI at 76 suggests an overbought setup. The MACD stays in the positive zone, though its histogram shows signs of moderation, hinting at a short pause before the next upmove.

From the option chain, Call open interest build-up is visible at 58,500 CE, followed by 58,400 CE, indicating near-term resistance. On the other hand, Puts at 58,000 and 57,800 hold firm open interest, establishing them as a strong support base. The Put–Call Ratio (PCR) stands around 1.05, implying a stable-to-bullish outlook.

Key Resistance: 58,300, 58,400, 58,550

Key Support: 57,800, 57,600, 57,500

Strategy: Apply a Bull Call Spread for the October 28 expiry by buying one lot of 58,000 CE at Rs 274 and selling one lot of 58,400 CE at Rs 122.75. This setup is designed to capture continued strength in Bank Nifty while limiting downside exposure in case of short-term consolidation.

Stop-Loss: Hold the strategy until expiry, with the maximum Mark-to-Market (MTM) loss capped at Rs 4,000.

Target: Hold the strategy until expiry to achieve a maximum profit potential of Rs 8,706, or consider booking profits once MTM gains exceed Rs 5,500.

Hardik Matalia, Derivative Analyst at Choice Broking

The Bank Nifty touched a fresh all-time high of 58,577 on Thursday but could not hold onto its gains. The session was volatile, with an intraday gain of around 520 points before the retracement, showing mixed momentum but still with a bullish bias. On the daily chart, a bearish candlestick with a long upper shadow and a small lower shadow appeared, indicating selling pressure at record highs and some hesitation among traders.

Despite this, the index remains above its key moving averages, keeping the broader uptrend intact. Immediate support is seen at 57,800–57,500, while resistance is placed at 58,300–58,600.

Key Resistance: 58,300, 58,600

Key Support: 57,800, 57,500

Strategy: Buy Bank Nifty Futures on dips near the 57,500 level with a stop-loss of 57,300 on a closing basis, targeting the 58,300–58,600 levels.