Overall, the trend remains positive – Samco

Nifty Sees Profit Booking Near 100-DEMA; 24,000 Remains Key Support

Nifty snapped its five-session winning streak and ended lower amid profit booking near the key resistance zone of 24,150–24,250. The index failed to sustain above its 100-Day Exponential Moving Average (100-DEMA) placed around 24,150 and slipped back below this level, indicating that sellers remained active at higher levels.

From a price action perspective, the index continues to hold above the crucial 24,000 support zone despite the day’s decline. The inability to sustain above the 100-DEMA and resistance near 24,250 suggests that the market may witness some consolidation in the near term before attempting the next directional move. Immediate support is placed at 24,000, followed by 23,880–23,800, while resistance is seen at 24,150–24,250. A decisive move above this zone could reignite bullish momentum towards 24,500.

The RSI has eased to 57.76 from recent highs, reflecting a moderation in momentum while remaining above its signal line, indicating that the broader undertone remains positive.

From a derivatives perspective, sentiment turned slightly cautious with the PCR declining to 0.77. Option data shows significant Put Open Interest at the 24,000 and 23,500 strike, reinforcing it as a key support level. On the upside, substantial Call Open Interest is concentrated at 24,200 and 24,500  strikes, highlighting these levels as immediate hurdles. The higher Call Open Interest relative to Put Open Interest suggests that traders are adopting a cautious approach after the recent rally.

Overall, the index continues to hold its short-term support structure, but a sustained move above the 100-DEMA and the 24,250 zone will be crucial for bulls to regain momentum.

Nifty Bank Witnesses Profit Booking Near 58,000; Bullish Structure Remains Intact

Nifty Bank witnessed profit booking after a sharp upmove and closed at 57,685.75, down 278.05 points (-0.48%). Despite the decline, the index continues to trade above all its key moving averages, indicating that the broader trend remains firmly positive. Importantly, the recent breakout zone of 57,100–57,300 continues to act as immediate support, suggesting that the ongoing decline is largely corrective in nature.

From a price action perspective, Nifty Bank remains in a higher high–higher low formation on the daily chart. The index faced resistance near the psychological 58,000 mark, where profit booking emerged after a strong rally over the past few sessions. A sustained move above 58,000 could trigger fresh momentum towards 58,500–58,600, while immediate support is placed at 57,500, followed by 57,000.

Momentum indicators remain supportive, with the RSI at 67.81, holding above its moving average and indicating that bullish momentum remains intact despite the day’s weakness.

From a derivatives perspective, the PCR stands at 1.07, reflecting a slightly balanced undertone after the recent rally. Option chain data shows significant Put Open Interest at 57,500 and 57,000 strikes, reinforcing these levels as key support zones. On the upside, the highest concentration of Call Open Interest is visible at 58,000 and 58,500 strikes, suggesting these levels may act as immediate hurdles. Notably, the 58,000 strike has witnessed substantial Call writing, making it an important level to watch in the near term.

Overall, the trend remains positive as long as Nifty Bank sustains above the 57,200–57,000 support zone, while a decisive breakout above 58,000 could resume the next leg of the upmove.