Market Sentiment and Recent
Performance
·
Nifty closed nearly flat in the last two sessions, reflecting
indecision amid ongoing geopolitical tensions and profit booking
·
The advance-decline ratio has been negative, with more stocks
declining than advancing, indicating underlying bearish sentiment
·
Sector rotation is visible: while real estate and telecom have
shown strength, financials and select large-caps (like Bajaj Finance, Trent,
Tata Motors) have faced pressure.
Key Technical Levels
|
Level |
Importance |
|
24,400–24,600 |
Resistance |
|
24,334 |
Last
close |
|
24,100–23,800 |
Support
zone |
·
Downside Risk: If Nifty falls
below 24,100, further declines toward 23,800 are possible
·
Options Data: Highest call
writing at 24,400 and highest put writing at 24,100 suggest a tight trading
range and potential for volatility
Factors to Watch
·
Geopolitical Tensions: India-Pakistan
developments are keeping markets cautious and could trigger sharp moves in
either direction4.
·
Earnings Season: Stock-specific
action is likely as companies announce quarterly results.
·
Global Cues: US-India trade
talks and global market trends will influence direction
·
Sectoral Trends: Real estate and
telecom may outperform, while financials and IT could remain under pressure
Trading Strategy
·
Range-bound Approach: Expect Nifty to
trade between 24,100 and 24,400. Breakouts above or below these levels could
set the next trend.
·
Short-term Bias: Cautious to
neutral, with a slight bearish tilt unless 24,400 is convincingly crossed.
·
Stock Selection: Focus on sectors
showing relative strength (realty, telecom) and be cautious with financials and
overbought stocks.
Summary:
For 2 May 2025, Nifty is likely to remain volatile and range-bound between
24,100 (support) and 24,400 (resistance). Watch for breakouts on either side
for directional trades. Geopolitical news, earnings, and global cues will be
key drivers.
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