NIFTY TECHNICAL OUTLOOK

Based on Market Closing on Tuesday, March 04, 2025

The Nifty closed at 22,082.65 in the previous session, down 36.65 points or 0.17%. The downtrend may persist if the index closes below the critical short-term support level of 22,000.

The session opened on a negative note at 21,974.40, gradually rose to an intraday high of 22,105.10, and settled at 22,082.65. Sector-wise, media, PSU banks, metals, and financial services outperformed, while auto, IT, FMCG, and pharma lagged. Market breadth was positive, with 1,587 stocks advancing, 1,145 declining, and 149 remaining unchanged. The top Nifty gainers were BPCL, SBIN, BEL, and SHRIRAMFIN, while BAJAJ-AUTO, HEROMOTOCO, BAJAJFINSV, and HCLTECH were the biggest losers.

Technically, momentum indicators remain in the oversold zone, with the index trading below both short-term and long-term moving averages. Although the index formed a white candle on the daily chart, it closed below the previous session's close, signaling continued bearish momentum. Key short-term support lies in the 22,000–21,800 range, and a close below these levels may trigger further downside. Conversely, the index could consolidate if it holds above this support. For a pullback rally, the index must sustain above 22,100.

Intraday Levels: Support at 22,000, 21,900, and 21,800, while resistance is at 22,100, 22,200, and 22,300 (based on 15-minute charts).
Positional Trading Levels: Short-term support at 22,000–21,200, with resistance at 22,700–23,500.

 BANK NIFTY

Bank Nifty closed the previous session at 48,245.20, gaining 130.90 points. Despite the positive close, the broader technical trend remains bearish as the index continues to trade below its short-term and long-term moving averages. However, the formation of a white candle on the daily chart, with a close above the previous session’s level, signals a slight positive bias. On the downside, immediate intraday support is at 48,100, while resistance stands at 48,400. A breakout above this resistance could trigger further upside, whereas failure to breach this level may lead to consolidation.

Intraday Levels: Support at 48,100, 47,850, and 47,600; resistance at 48,400, 48,640, and 48,925 (based on 15-minute charts).
Positional Trading Levels: Short-term support at 47,750–47,000, with resistance at 48,750–50,000.