Analysts said the Nifty needs to decisively move out of the 25,300–25,600 band to establish a clear directional trend.
The Nifty is expected to consolidate as long as it trades below the 25,650–25,700 resistance zone, with immediate support at the 25,400–25,300 zone. However, a decisive trade above 25,700 can raise the possibility of a move toward 25,900–26,000.
Consolidation is likely to continue as long as the index trades below the downward-sloping resistance trendline. Below are some short-term trading ideas to consider.
Consolidation with range-bound trading is expected to persist in the short term until the Nifty 50 decisively breaks out of the 25,300–25,900 range on either side.
The weekly options data suggests that the 25,500–25,700 zone is expected to act as key resistance, with crucial support at 25,000 and immediate support at 25,400.
If the Nifty rebounds after the sharp sell-off, it may face a hurdle at 25,500–25,600. However, in the case of further consolidation, the index may retest the 25,300–25,200 levels if it decisively falls below 25,400.
The market is expected to consolidate with range-bound trading. Below are some short-term trading ideas to consider.
Given the sharp sell-off, the Nifty 50 may attempt a bounce-back, facing resistance at the 25,500–25,600 levels, as sustaining above this zone alone can push the index toward 26,000. However, in the event of further consolidation, the 25,300–25,200 range is expected to act as an immediate support zone.
Momentum indicators maintained a sell signal and consistently showed the Nifty IT index in oversold territory. However, experts do not see any indication of a pause in selling and expect the fall to extend toward the 28,000–27,000 levels in the short term.
The weekly options data indicated that the Nifty may face immediate resistance at 25,500, where the maximum Call open interest is placed, while support is placed at 25,000, which has the maximum Put open interest.
Experts said that the 25,200–25,000 zone should be viewed as an accumulation area for select stocks from a medium-term perspective.
If the Nifty 50 fails to defend the previous day's low (around 25,600), a fall toward 25,500–25,400 can be seen. However, on the higher side, 25,800 is crucial for a further uptrend toward 26,000.
The market may consolidate after two days of gains, as the VIX signals caution for bulls. Below are some short-term trading ideas to consider.
The immediate key hurdle for Nifty 50 is placed at 25,800. Surpassing and sustaining this level could prepare the index for a move toward the 25,900–26,000 zone, which may open the door to a record high. Until then, range-bound trading may continue.
The monthly options data suggest that the Nifty may remain in the 25,500–26,000 range in the short term, as a decisive close on either side of the range can provide firm direction to the Nifty 50.
After the initial gap-up opening on Monday, a short-term dip cannot be ruled out. Any decline toward the 25,750–25,780 zone could present a buying opportunity for a near-term target of 26,002, Ashish Kyal advised. Among stocks, he believes Granules India appears strong from a short-term perspective, having delivered a decisive breakout from a triangle pattern in the previous session. KEI Industries has also witnessed a strong breakout from a multi-resistance zone around Rs 4,600, supported by healthy volumes in the prior trading session, he said in an interview to Moneycontrol.
Bulls are likely to gain more strength on Monday, especially after the Supreme Court ruled against Trump’s tariffs. Hence, the Nifty 50 is expected to march toward 25,900, which is the pivot point, as only sustaining above it can take the index toward the next key resistance at 26,000.
The market is expected to maintain its uptrend if it sustains above the midline of the Bollinger Bands. Below are some short-term trading ideas to consider.
As long as the index holds above this level, along with the positive signal from the US Supreme Court striking down Trump’s tariffs with a 6–3 vote—though Trump later announced an increase in global tariffs to 15 percent from 10 percent—a possible move toward the 25,900–26,000 levels (which also coincide with recent swing highs) may occur in the upcoming sessions.
On the upside, the 25,950–26,000 band stands as an immediate resistance zone. How the index reacts around these key levels will determine the next meaningful directional move, said Sudeep Shah.
Theta decay is the silent killer of option buyers. It's the daily erosion of option premium, and it doesn't move at a steady pace.
The benchmark Nifty 50 needs to surpass and sustain above the 25,650–25,700 zone for a further upward journey toward 25,800, followed by 25,900.
If the Nifty 50 fails to defend the 25,400–25,350 zone, the 25,300–25,200 range cannot be ruled out in the next few sessions. However, holding above this zone could possibly take the index toward the 25,500–25,600 range.
The market is expected to consolidate with a negative bias. Below are some short-term trading ideas to consider.
If the Nifty 50 decisively breaks 25,400 in the upcoming sessions, a fall toward the 25,300–25,200 zone cannot be ruled out. However, holding above 25,400 could take the index toward the 25,500–25,600 zone.