NIFTY TECHNICAL OUTLOOK

Based on Market Closing on Monday, April 07, 2025

The Nifty witnessed a sharp decline in the previous session, closing at 22,161.60, down 742.85 points or -3.24%. If the index trades and sustains above 22,050, a positive reversal may occur.

Market Recap: The index opened with a significant gap down at 21,758.40 and touched the day's low of 21,743.70 in early trade. However, it gradually recovered, reaching an intraday high of 22,254.00 before settling at 22,161.60.

All sectoral indices ended in the red, with Metals, Realty, Media, and Auto stocks being the worst performers. Market breadth was highly negative, with 2,550 stocks declining, 230 advancing, and 111 remaining unchanged. Among Nifty constituents, HINDUNILVR was the only gainer, while TRENT, TATASTEEL, JSWSTEEL, and HINDALCO led the list of top losers.

Technical View: Momentum indicators continue to reflect a bearish bias, with the index trading below both its short-term and long-term moving averages. However, the formation of a long white candle on the daily chart, along with a close near the day's high, suggests a mild positive undertone. If the index holds above 22,050, a short-term recovery is likely. Immediate resistance is seen at 22,300; a sustained move above this could push the index towards 22,850 in the coming sessions.

Intraday Levels (15-Minute Chart): Support: 22,050 / 21,800 / 21,600 Resistance: 22,300 / 22,600 / 22,850

Positional Outlook: Support: 21,740 – 21,200 Resistance: 22,300 – 22,850

BANK NIFTY – TECHNICAL OUTLOOK

In the previous session, Bank Nifty closed sharply lower at 49,860, losing 1,642.60 points. While technical indicators still reflect an overall positive trend, the index has slipped below its short-term moving averages, signaling potential weakness in the near term.

The index formed a white candle on the daily chart, but the close well below the previous day's level indicates a bearish undertone despite the intraday recovery.

Key Technical Levels: On the upside, the index faces immediate resistance at 50,000. A sustained move above this level may trigger a short-term positive trend. On the downside, immediate intraday support is at 49,550. A breakdown below this level could lead to a continuation of the recent downtrend.

Intraday Levels (15-Minute Chart): Support: 49,550 / 49,150 / 48,750 Resistance: 50,000 / 50,425 / 50,900

Positional Levels: Support: 49,150 – 47,850 Resistance: 50,700 – 52,000