Trade Setup For Oct. 25: Nifty 50 Resistance Levels At 24,450
The Nifty 50 is consolidating between 24,400 and 24,500, with analysts highlighting 24,450 as a key resistance level, while 24,200 serves as crucial support in the face of global pressures.
The Nifty 50 resistance levels are at 24,450, with key support around 24,200, according to analysts, as the market continues to consolidate. Analysts remain cautious, particularly due to the upcoming Diwali week.
"For day traders, the 24,450/80,200 zone will be a critical resistance point. If the market breaks above this, it could rise to 24,600–24,625/80,500–80,800," according to Shrikant Chouhan, head of equity research at Kotak Securities Ltd.
"On the downside, falling below 24,350/79,850 could lead to accelerated selling pressure, potentially pushing the index down to 24,250–24,200/79,500–79,300," said Chouhan.
The Nifty has been hovering in a narrow range of 24,400–24,500 over the last two sessions, weighed down by persistent foreign outflows and lacklustre earnings, according to Siddhartha Khemka, head of research at Motilal Oswal Financial Services Ltd. "This range-bound move is likely to continue unless a major trigger emerges, with sectoral rotation driven by the ongoing earnings season."
"Nifty is expected to remain within a tight range, with 24,350 and 24,200 (the bullish gap from August) acting as immediate support due to oversold conditions on the intraday charts. The resistance at 24,500–24,600, aligned with the 89 DEMA, remains key. With the 20 DEMA breaching the 50 DEMA, we advise caution. A sustained move above 25,000 would shift the outlook to bullish, but until then, any upward movement should be seen as a relief rally," noted Rajesh Bhosale, equity technical analyst at Angel One Ltd.
Amid the cautious sentiment, individual stocks have shown resilience. "Several stocks have bounced back from key support levels, providing trading opportunities. However, traders should be selective in their approach," warned Bhosale.
Market Recap
The NSE Nifty 50 and BSE Sensex settled at an over two-month low on Thursday for a third consecutive session, as earnings reports failed to uplift the sentiments of investors. Moreover, a decline in Asian shares and overnight losses on Wall Street also put pressure on the Indian benchmarks.
The Nifty 50 ended 36.10 points, or 0.15%, down at 24,399.40. The Sensex ended 16.82 points, or 0.02%, lower at 80,065.16.
In Thursday's choppy session, the benchmark indices recovered briefly. Intraday, the Nifty 50 rose 0.18% to 24,480.65, and Sensex rose 0.22% to 80,259.82. And, intraday, the Nifty 50 also fell 0.39% to 24,341.20, while the Sensex declined 0.34% to 79,813.02.
Rupee Market
The Indian rupee closed flat against the US dollar on Thursday. The local currency ended at Rs 84.075, compared to the previous day's record low close of 84.082. The rupee traded within the range of 84.08–84.055.
The recent pressure on the rupee has come from foreign outflows from India and the greenback's strength globally. A rise in international oil prices also influenced the local currency.
