NIFTY TECHNICAL OUTLOOK

Based on Market Closing on Friday, January 31, 2025

The Nifty closed at 23,508.40, gaining 258.90 points (1.11%) in the previous session. The bullish momentum is expected to continue if the index sustains above the key support level of 23,500.

In Friday’s session, Nifty opened at 23,296.80 and maintained its upward trajectory, reaching an intraday high of 23,546.80 before closing near its highs. All sectors ended in the green, with realty, FMCG, auto, and PSU banks leading the gains. Market breadth was positive, with 1,945 stocks advancing, 754 declining, and 158 remaining unchanged.

Top Performers & Laggards Gainers under the nifty: TATACONSUM, BEL, TRENT, NESTLEIND Losers: BHARTIARTL, JSWSTEEL, BAJAJFINSV, ICICIBANK

Technical Analysis

Momentum indicators continue to signal strength, and Nifty remains above its short-term moving averages. The index formed a bullish white candle on the daily chart, closing above the crucial 23,500 resistance level, which has now turned into support. As long as the index holds above 23,500, the positive trend is likely to persist. The next short-term resistance is at 24,200.

Trading Levels Intraday (15-Minute Charts): Support: 23,435 -23,350 - 23,250 Resistance: 23,550 -23,650–23,750

Positional Trading:  Support: 23,500–23,000 Resistance: 24,200–24,775

Nifty continues to exhibit strong bullish momentum, with broad-based sectoral participation. Holding above 23,500 will keep the uptrend intact, with a potential upside toward 24,200. However, a break below 23,500 could invite short-term consolidation or correction. Traders should monitor resistance levels for further confirmation of strength.

BANK NIFTY TECHNICAL OUTLOOK

In the previous session, Bank Nifty closed at 49,508.40, gaining 275.25 points. The technical indicators suggest a continued bullish trend, as the index remains above its short-term moving averages. Additionally, Bank Nifty formed a bullish white candle on the daily chart, closing higher than the previous session, reinforcing positive sentiment. The index faces immediate resistance at 49,600. A sustained move above this level could trigger a sharp upward rally, with the next short-term resistance at 50,700.

Trading Levels  Intraday (15-Minute Charts): Support: 49,350 - 49,100 - 48,850 Resistance: 49,660 -50,000 - 50,300

Positional Trading: Support: 48,000–47,000 Resistance: 49,600–50,700

Bank Nifty continues to exhibit strength, maintaining higher highs and higher lows on the daily chart. If the index sustains above 49,600, a further rally toward 50,700 can be expected. However, a failure to break resistance may lead to consolidation or minor pullbacks. Traders should closely watch key support and resistance levels for further direction.