Nifty Bank Hits Fresh Lifetime High; Bullish Marubozu Breakout Signals Strong Uptrend

The Nifty Bank index delivered a powerful breakout, hitting a new all-time high and posting its strongest single-day gain in nearly four months. Renewed optimism around possible rate cuts, coupled with sustained buying in heavyweight private and PSU banks, fueled a sharp upward surge. The index erased the previous three days of declines with a sweeping bullish Marubozu candle, confirming continuation of the broader uptrend.
A solid rebound from the 58,500 support zone once again validated this region as a firm demand pocket for market participants.

On Wednesday, Nifty Bank rallied 707.75 points to close at 59,528.05, reclaiming levels above 59,300. The broader structure remains bullish, with the index maintaining a series of higher highs and higher lows reflecting strengthening dominance from long-side traders.

Technical Overview: Strong Bullish Marubozu Reinforces Uptrend

From a technical standpoint, the index posted a sharp, decisive comeback. The formation of a bullish Marubozu candle engulfing the previous four trading sessions signals a strong pickup in buying momentum.

A supportive base aligned with the 10-DEMA around 58,500 further validates this zone as a dependable demand area. As long as the index holds above its support cluster, the overall trend is expected to remain upward.

Key Resistance & Support Levels

• Immediate Resistance: 60,000 (high call OI concentration)
  
  
• Critical Support: 59,000
  
  
• Strong Demand Zone: 58,500
  
  

The index is trading in uncharted territory, and the price action suggests the potential for a continued bullish extension. Any dips toward 59,000–58,500 are likely to be absorbed quickly.

Momentum Indicators: RSI Shows Strong Bullish Strength

Momentum indicators confirm improving sentiment:

• The 14-day RSI has crossed above 70, indicating robust bullish strength.
  
  
• No major divergence is visible, supporting the continuation of the current trend.
  
  
• Trend structure remains intact with buyers firmly in control.
  
  

Derivatives Snapshot: Options Data Supports Bullish Bias

The derivatives structure further strengthens the bullish outlook.

Key OI Highlights

• 60,000 Call Strike: Heavy OI buildup of ~7.86 lakh contracts
  → Acts as a strong near-term resistance
  
  
• 59,000 Put Strike: Substantial OI of ~11.94 lakh contracts
  → Acts as a strong psychological and technical support
  
  

Put–Call Ratio (PCR)

• PCR has increased to 1.14 (from 1.07), signalling improved sentiment.
  
  
• Aggressive put writing and migration of call writers to higher strikes indicate confidence among bulls.
  
  

Overall, the derivatives setup shows a clear upward bias, with short-covering likely on a breakout above 59,600.

Market Outlook: Index Poised for 60,000 Breakout

The Nifty Bank index delivered a strong revival, forming a bullish Marubozu candle and registering a fresh record high. Sustaining above 59,300 keeps the structure firmly positive, and the setup hints at a potential extension towards the 60,000 level in the coming sessions.

What to Watch Ahead

• A decisive close above 59,600 could trigger additional short-covering.
  
  
• A breakout above 60,000 could open gates for extended upside.
  
  
• Dips toward 59,000 should continue to attract accumulation.
  
  

Overall, the trend remains Buy-on-Dips, supported by strong technicals and derivatives positioning.