Nifty Slips Below Key 25,000 Mark: Fourth Straight Weekly Loss Signals Extended Bearish Grip

Nifty 50 finished the week on a weak note, closing below the important 25,000 level and marking its fourth straight weekly loss. This highlights a sustained bearish phase for traders and investors to note.

 Breakdown Below 25,000: Bears Take the Driver’s Seat

On Friday, Nifty dropped 225.10 points to close at 24,837.00, marking its biggest single-day loss in July. The index has moved out of its recent sideways pattern, falling below a key low and the 50-day Exponential Moving Average, which now acts as immediate resistance at 24,950.

This drop not only signals a technical shift but also firmly establishes the bearish mood in the market.

 Technical Signals Point to Further Weakness

• The break below 25,000 cements the bearish structure for now.
• RSI Weakness: The Relative Strength IndexRSI remains below 50 at 40, showing fading bullish momentum.s are now acting as resistance, which is a typical sign of a changing trend.

If the Nifty sustains below 24,800, the next key support zone lies between 24,600 and 24,500. Without a quick recovery above 25,000 in the coming sessions, this bearish trend could gain further traction.

 Derivatives Snapshot: Data Confirms Bearish Bias

The F&O (Futures & Options) landscape reinforces this downward bias:

• 25,000 Call Strike: Heavy call writing observed, with Open Interest (OI) at 1.50 crore contracts, making it a strong resistance zone.
• 24,500 Put Strike: Highest OI among puts at 64.45 lakh contracts, now acting as a firm support.
• Put-Call Ratio (PCR): Declined from 0.76 to 0.58, clearly indicating a rise in call writing and a bearish skew.

Open interest is moving toward lower strikes, showing that market participants are becoming more cautious and are taking defensive positions.

 Volatility Check: Calm Before the Storm?

While the India VIX rose 5.15% to settle at 11.27, it remains well below the psychological panic threshold of 13. This indicates that the current sell-off is methodical, not fear-driven. The low volatility setup suggests that while short-term traders are defensive, long-term investors are holding their positions, anticipating broader range-bound behavior rather than a full-blown meltdown.

 Market Outlook: All Eyes on 24,800 and 25,000

• Support Zone: 24,600 – 24,500
• Resistance Zone: 24,960 – 25,000

If the index does not move back above 25,000 and stay there, the short-term trend will stay bearish. Any upward moves are likely to face selling, as traders sell into rallies instead of buying them.

Put writers are also repositioning at lower strikes, reinforcing the shift in sentiment. A sustained breakdown below 24,800 could trigger another round of long unwinding and intensified selling.

 Conclusion

With Nifty breaking below key supports, the market has clearly entered a bearish phase. Traders may favor a sell-on-rise strategy, while investors should wait for evidence of reversal before re-entering aggressively.

Key takeaways: The market is in a bearish phase with Nifty below 25,000. Watch 24,800 as the next critical level. A sustained move below 24,800 could lead to 24,600–24,500. A quick reversal above 25,000 would be needed to shift the trend. Until then, selling into rallies is preferred, and investors should wait for reversal signs.