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Market Outlook
  • February 27, 2025
  • Jose Mathew T

Daily insights into the world of trading

NIFTY TECHNICAL OUTLOOK

Based on Market Closing on Tuesday, February 25, 2025

The Nifty closed at 22,547.55, down 5.80 points or 0.03% in the previous session. If the index falls below the 22,500 support level, the downtrend could extend further.

Market Recap:  Nifty opened with a negative bias at 22,516.40 but rebounded to test an intraday high of 22,625.30. It then traded sideways before closing slightly lower. Media, auto, FMCG, and financial services were the top-performing sectors, while metal, realty, PSU banks, and IT lagged. Market breadth remained negative, with 1,004 stocks advancing, 1,744 declining, and 132 unchanged. Among Nifty stocks, the top gainers were M&M, Bharti Airtel, Bajaj Finance, and Nestlé India, while the major losers included Hindalco, Dr. Reddy’s, Trent, and Sun Pharma.

Technical Analysis

Momentum indicators remain in the oversold region, with the index trading below both its short-term and long-term moving averages. The formation of a small white candle on the daily chart, closing below the previous session, suggests that bearish momentum persists. Key support lies around 22,500—a breakdown below this level could accelerate the decline. However, given the oversold conditions, a short-term rebound remains possible. The nearest intraday resistance stands at 22,625; a breakout above this level could trigger a pullback rally.

Trading Levels

Intraday Levels: Support: 22,520, 22,430, 22,330 Resistance: 22,625, 22,725-22,825 (15-Minute Charts)

Positional Trading Levels:  Support: 22,500-22,000 Resistance: 22,800-23,250

BANK NIFTY TECHNICAL OUTLOOK

In the previous session, Bank Nifty closed at 48,608.45, down 43.60 points. Technical indicators suggest a negative trend, as the index remains below both its short-term and long-term moving averages.

A small black candle formed on the daily chart, reinforcing bearish sentiment, with the index struggling to surpass the 48,750 resistance level. If it fails to break above this level, the downtrend may continue in the coming days. The nearest intraday support stands at 48,600, while a move above 48,800 is required for any positive momentum.

Trading Levels

Intraday (15-Minute Charts): Support: 48,600, 48,400, 48,200 Resistance: 48,800, 49,050, 49,250

Positional Trading: Support: 47,750–47,000 Resistance: 48,750–50,000

Top of Form

Bottom of Form

 


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