Stock Market Today: Nifty Locked in Consolidation; Breakout Levels in Focus

Nifty Outlook

Nifty ended the session at 25,953.85, up 0.07%, inching higher in a slow and steady manner. The index opened at 25,997.45, touched an intraday high of 26,009.40, and closed marginally below its opening mark. The daily chart formed a small bullish candle, suggesting continuation of the ongoing rally within a consolidation framework.

Technically, the index is holding firmly above the 23.6% Fibonacci retracement level at 25,920, reinforcing the strength of the recent up move. Nifty also remains positioned above all key moving averages, indicating stable underlying momentum.

On the hourly chart, the formation of a higher high and higher low confirms that the short-term structure remains upward despite minor intraday swings.

Momentum Indicators

• RSI (Daily): 57 – Indicates healthy momentum without overbought conditions
  
  
• DMI Setup: +DI above –DI, reflecting positive directional bias
  
  
• ADX near 22: Suggests a steady trend phase rather than an overstretched rally
  

Key Levels to Watch

• Support: 25,800, followed by 25,750
  
  
• Resistance: 26,050
  
  
• Upper Bollinger Band: Near 26,100
  

A sustained move above 26,050–26,100 could trigger fresh momentum and potentially open the path for a breakout extension. On the downside, holding above 25,800 remains crucial to maintain the bullish structure.

India VIX cooled further to 11.55, signalling easing volatility and supporting the ongoing consolidation. As long as short-term supports remain intact, a buy-on-dips strategy continues to be favourable.

Nifty Bank Holds Firm Near Highs Amid Controlled Consolidation

Nifty Bank closed at 60,745.35, gaining 0.20%, and continues to hover near its recent highs. The index opened at 60,670.25, slipped to an intraday low of 60,444.65, and recovered steadily to close near the upper end of the session’s range — reflecting controlled consolidation rather than distribution.

The daily chart formed a small-bodied candle, indicating range-bound movement within a broader uptrend. The index remains above all key moving averages and is trading above the VWAP near 60,650, which is acting as immediate intraday support.

Momentum Indicators

• RSI: 61 – Reflects steady strength without entering overbought territory
  
  
• DMI: +DI comfortably above –DI, supporting bullish bias
  
  
• ADX near 20: Indicates a stable trend phase without aggressive momentum
  

Key Levels to Watch

• Immediate Support: 60,400
  
  
• Next Support: 60,300
  
  
• Resistance Zone: 61,000–61,050
  

Unless a decisive breakout occurs beyond 61,000–61,050, Nifty Bank may continue to trade in a relatively narrow range with lower intraday oscillations.

Market Strategy View

Both Nifty and Nifty Bank are exhibiting healthy consolidation within prevailing uptrends, supported by stable momentum readings and easing volatility.

A decisive breakout above resistance levels could reignite stronger upside momentum, while dips toward defined support zones are likely to attract buying interest.

For now, the structure favours:

• Selective participation
  
  
• Disciplined risk management
  

A buy-on-dips approach while key supports hold