Nifty Holds Ground, but Upside Momentum Remains Lacking

The Nifty 50 ended the session at 26,042.30, slipping 0.38%, as the index faced repeated rejection near the 26,200 resistance zone. Price action on the daily chart indicates a gradual cooling from higher levels, with selling pressure emerging on every attempt to move higher.

On the weekly timeframe, Nifty formed an inverted hammer but still closed the week with a 0.29% gain. This suggests that while near-term momentum has softened, the broader underlying trend remains intact.

Key Technical Levels and Indicators

The index continues to trade above the middle Bollinger Band, positioned near 26,000, which also aligns with the 50% Fibonacci retracement of the recent upswing. This convergence has emerged as a strong support cluster, allowing the index to absorb selling pressure without triggering a deeper correction.

• Daily RSI remains steady near 53, indicating neutral-to-positive momentum.
• MACD stays below the signal line, reflecting a lack of strong upside traction
• On the hourly chart, the higher-high and higher-low structure remains intact, keeping the primary trend constructive.

Support and Resistance Outlook

• Immediate support: 25,900
• Stronger base: 25,850
• Key resistance: 26,120–26,200

Nifty continues to consolidate within a narrowing range. As long as the index holds above 26,000, the broader structure remains steady. However, a decisive close above 26,200 is required to revive upside momentum and signal trend continuation. Until then, the index is likely to remain range-bound and selective.

Nifty Bank: Consolidation Persists, Momentum Turns Neutral

The Nifty Bank index closed at 59,011.35, down 0.29%, after trading within a tight intraday range. The index struggled to sustain above the 59,150–59,200 supply zone, forming a mild bearish candle by the end of the session.

On a weekly basis, Nifty Bank slipped 0.10%, printing a small bearish candle—highlighting hesitation after the recent advance.

Technical Structure and Indicators

Nifty Bank is currently trading below the middle Bollinger Band near 59,270, while remaining above the lower Bollinger Band at around 58,770, keeping the index confined within the volatility band.

Key Fibonacci levels to watch:

• 38.2% retracement: 58,980 (immediate support)
• 50% retracement: 58,630
• 61.8% retracement & Supertrend: near 58,400

Momentum indicators reflect a neutral bias:

• RSI near 50, indicating indecision
• MACD below the signal line with a negative histogram
• The index has slipped below the 10-day and 20-day EMAs, keeping short-term pressure intact.

Support and Resistance Levels

• Major support: 58,700, followed by 58,600
• Immediate resistance: 59,330
• Higher resistance: 59,400
  Nifty Holds Ground, but Upside Momentum Remains Lacking

Market Outlook

Both Nifty and Nifty Bank remain in consolidation phases, with upside attempts lacking conviction. While key support levels continue to hold, momentum indicators suggest a wait-and-watch approach in the near term.

• For Nifty, holding above 26,000 is critical to preserve the broader bullish structure
• For Nifty Bank, sustained trade above 59,300 is required to restore upside momentum

Until these levels are decisively breached, the indices are likely to oscillate within defined ranges, favouring range-bound trading strategies over aggressive directional bets.