Nifty Technical Outlook

Based on Market Closing on Tuesday, February 4, 2025

Nifty ended the session at 23,739.25, gaining 378.20 points (1.62%). The index maintained strong bullish momentum, and further upside is possible if it breaks above the intraday resistance at 23,765.

Nifty opened positively at 23,509.90 and continued its upward momentum throughout the session, touching an intraday high of 23,762.80 before closing near the highs. All sectors, except FMCG, ended in the green, with banking, financial services, metal, and pharma emerging as top gainers. Market breadth was strong, with 1,775 stocks advancing, 948 declining, and 136 remaining unchanged. Top gainers under the nifty  were SHRIRAMFIN, LT, BEL, and ADANIPORTS, while the top Losers were TRENT, BRITANNIA, HEROMOTOCO, and NESTLEIND

Technical Outlook

Technically, Nifty remains above short-term moving averages, and momentum indicators signal continued bullishness. The formation of a long white candle on the daily chart and a breakout above the recent consolidation range indicate the market is under the bull's control. Nifty’s strong closing and bullish breakout suggest continued upside potential. If the index sustains above 23,765, it could rally towards the next resistance at 24,200. However, profit booking or consolidation may occur if it struggles to break 23765 level. Traders should monitor support at 23,650 for any signs of weakness.

Intraday Levels: Support - 23650, 23540, 23425 Resistance - 23675, 23865-23975 (15-Minute Charts)

Positional Trading: Short-term support - 23500-23000 Resistance - 24200- 24775.

BANK NIFTY

Bank Nifty closed at 50,157.95, posting a strong gain of 947.40 points, indicating sustained bullish momentum. The index remains above its short-term moving averages, and the formation of a long white candle on the daily chart and a breakout above the previous resistance of 49,600, signal the strength in the uptrend. The index has intraday resistance is at 50,200, with support at 49,900 levels. A move above 50,200 could extend the rally toward 50,700, while failure to hold this level may lead to consolidation.

For intraday traders, key support levels are 49,900, 49,660, and 49,400, while resistance levels are 50,200, 50,500, and 50,800.

Positional traders should watch for support in the 49,600–48,000 range, with a potential upside toward 50,700–52,000 if momentum persists.