NIFTY TECHNICAL OUTLOOK

Based on Market Closing on Wednesday, March 26, 2025

Nifty closed at 23,486.85, down 181.80 points (-0.77%) in the previous session. The index remains under pressure, and a break below 23,400 could extend the downtrend.

In the session, Nifty opened positively at 23,700.90 and touched an intraday high of 23,736.50 in the morning trade. However, selling pressure dragged it down to an intraday low of 23,451.70, and it eventually settled near the day’s low. Barring the auto sector, all other sectors ended in the red, with media, realty, PSU banks, and financial services leading the decline. The market breadth was weak, with 511 stocks advancing, 2,286 declining, and 91 unchanged.

Among Nifty constituents, INDUSINDBK, TRENT, HCLTECH, and HEROMOTOCO were the top gainers, while NTPC, TECHM, CIPLA, and BAJFINANCE were the biggest losers.

Technical Analysis:

Technically, Nifty remains above its short-term moving averages, and momentum indicators suggest strength.  But the index formed a second consecutive black candle on the daily chart, closing near the session’s low. This pattern indicates a negative bias, with immediate support at 23,400, below which the downtrend could extend towards 23,250. On the upside, a move above 23,600 is needed for a short-term pullback, while 23,800 remains a key resistance level. The overall trend remains range-bound to bearish, and unless Nifty reclaims higher levels, selling pressure may persist in the coming sessions.

Trading Levels:

Intraday: Support: 23,400, 23,280, 23,165 Resistance: 23,500, 23,600–23,700 (15-Min Chart)

Positional Trading:  Support: 23,250–22,680 Resistance: 23,800–24,225

BANK NIFTY

In the previous session, Bank Nifty closed at 51,209.00, losing 398.95 points, forming a long black candle on the daily chart and closing near the day's low. While the index remains above its short-term moving averages, the negative price action suggests a potential for further downside. Immediate intraday support is at 51,150, and if the index sustains below this level, the downtrend is likely to continue. A pullback rally requires the index to move above the 51,500 level.

Intraday traders should watch support levels at 51,150, 50,800, and 50,500, while resistance is seen at 51,500, 51,850, and 52,150.

For positional traders, key support lies between 50,600–49,750, with resistance at 51,750–53,650.