Buoyed by favorable global developments, domestic equities commenced the session on a firm note, with the benchmark index opening slightly higher. Thereafter, market activity remained largely range-bound, with the Nifty50 oscillating within a narrow band for most of the session. Although mild profit booking emerged during the penultimate hour, the broader undertone remained constructive. The Nifty50 index successfully held above the 24100 mark and concluded the day with a modest gain of 0.37%.

The market breadth remained constructive, as reflected in a favorable advance-decline ratio, indicating broad-based participation across sectors. However, the technical setup warrants a measured approach at current levels. The benchmark index continues to encounter resistance around its 100-DEMA, while the formation of a small-bodied candlestick underscores a degree of indecision and caution among market participants following the recent recovery.

On the levels front, the 24050-24000 zone is expected to provide immediate support and absorb near-term weakness. A breach of this range could bring the stronger support band of 23900-23850 into focus, which is likely to serve as a sacrosanct support for the index. On the upside, the 100-DEMA region of 24150-24180 remains an important intermediate resistance zone. Beyond this, the bearish gap area between 24250 and 24280 is expected to act as a formidable supply zone. A decisive breakout above these resistance levels would be required to confirm renewed momentum and potentially trigger the next leg of the broader uptrend.

Going forward, the prevailing price action continues to reinforce a ‘buy-on-dips’ strategy, with corrective moves attracting buying interest at lower levels. Consequently, market participants should remain vigilant for accumulation opportunities near the aforementioned support zones. Furthermore, thematic opportunities are expected to remain at the forefront, offering relatively better risk-reward prospects amid the prevailing consolidation in benchmark indices.

Key levels to watch

NIFTY

Support: 24000 – 23900

Resistance: 24180 – 24280

BANKNIFTY

Support: 57500 – 57000

Resistance: 58400 – 59000 Osho

Krishan, Chief Manager – Technical & Derivative Research, Angel One