NIFTY Bank: Support Intact, Resistance Firm — Directional Trigger Awaited

Market Recap: Strong Recovery, Range Persists

Nifty Bank staged a sharp rebound, recovering nearly 50% of the previous session’s losses as buyers emerged near rising short-term averages. The index settled 432.45 points higher at 61,172.00, closing the week on a constructive note.

Despite the recovery, price action remains confined within a broader consolidation band, awaiting a decisive breakout for directional confirmation.

Technical Setup: Structure Stable but Capped

• Above 10 & 20-day EMAs: (60,400–60,500 zone) — near-term support intact.
• Immediate Crucial Support: 60,380–60,500 cluster.
• Stiff Resistance: 61,400–61,700 — aligned with prior all-time high supply.
• RSI Near 60: Reflects constructive momentum, but breakout confirmation required.

The broader uptrend remains structurally healthy as long as the index sustains above the 60,500 support band.

Derivatives Snapshot: Neutral-to-Positive Bias

Options data suggests balanced positioning:

• 61,500 Call OI: 7.62 lakh contracts — key resistance zone.
• 60,500 Put OI: 9.21 lakh contracts — strong support base.
• PCR at 0.98: Indicates positive-to-neutral sentiment.

Call writing near resistance continues to cap upside unless a strong breakout triggers short covering.

Key Levels to Watch

Strategy & Outlook

The tactical stance remains neutral within the 60,500–61,700 range.

• Below 60,500: Risk of decline toward 60,000.
• Above 61,700: Fresh upside momentum likely with potential expansion move.

Until either boundary is decisively breached, expect consolidation with stock-specific action dominating the banking space.