NIFTY TECHNICAL OUTLOOK

Based on Market Closing – Wednesday, March 5, 2025

The Nifty ended the previous session at 22,337.30, gaining 254.65 points (+1.15%). The market maintained a positive tone throughout the session, and further upside may be seen if the index crosses the intraday resistance at 22,400.

Nifty opened flat at 22,073.10 but gained momentum, reaching an intraday high of 22,394.90 before settling near its peak. All sectors closed in positive territory, with metal, media, PSU banks, and auto leading the gains. Market breadth was strong, with 2,311 stocks advancing, while only 427 declined, and 143 remained unchanged. Among individual stocks under nifty, ADANIPORTS, TATASTEEL, ADANIENT, and M&M were the top gainers, whereas  BAJFINANCE, INDUSINDBK, HDFCBANK, and SHRIRAMFIN were the biggest losers.

Technically, momentum indicators still suggest a negative bias, as Nifty remains below its short-term and long-term moving averages. However, the formation of a white candle on the daily chart, closing near the day's high, indicates potential strength. The RSI indicator, which had dropped to 21.79, has now reclaimed the 30 level, suggesting a possible continuation of the uptrend. In the near term, 22,400 remains a key resistance level; a move above this could extend the rally towards 22,500-22,600. On the downside, the immediate support levels stand at 22,300.  If Nifty fails to break above 22,400, the index may consolidate in the short term, with 22,000 acting as the next strong support.

Intraday Levels: Support - 22300, 22200, 22100  Resistance 22400, 22500-22600 (15-Minute Charts)

Positional Trading: Short-term support - 22000-21200 Resistance - 22700- 23500

BANK NIFTY TECHNICAL OUTLOOK

In the previous session, the Bank Nifty closed at 48,489.95, gaining 244.75 points. Despite this rise, technical indicators suggest a negative trend, as the index remains below its short-term and long-term moving averages. However, the formation of a second consecutive white candle on the daily chart, with a close above the previous day’s high, signals a positive bias for the index.

On the downside, intraday support is placed at 48,400. If Bank Nifty sustains above this level, the positive momentum may continue. The nearest intraday resistance stands at 48,650, while a strong bullish trend would require a closing above 48,750. If Bank Nifty fails to break above its resistance levels, short-term consolidation could be expected.

For intraday traders, key levels to watch are:  Support: 48,100, 47,850, and 47,600 Resistance: 48,400, 48,640, and 48,925

For positional traders, the short-term support lies between 47,750 and 47,000, with resistance in the 48,750–50,000 range.