Analysts Eye Nifty Support At 25,150; IT Braces For Trump’s Visa Fee Impact
Market experts, however, say the correction is healthy and the uptrend remains intact above 25,000.
Indian equity markets are gearing up for a weak start on Monday after US President Donald Trump announced a $100,000 fee for new H1B visa applicants, effective September 21.
Technology stocks will be in focus following this news development. The GIFT Nifty indicates a negative start for Dalal Street on September 22.
SEBI-registered analysts shared the trade setup for Monday, along with their outlook for the Nifty IT index going forward.
Trade Setup For Monday
Bharat Sharma of Stockace Financial Services highlighted that Nifty continues to face resistance above the 25,400 mark, which was also seen in Thursday’s candle formation. He added that this correction can be viewed as a healthy and necessary move in the market. According to Sharma, as long as the index holds above the 25,150–25,000 range, the uptrend remains intact, forming higher lows and preparing to regain upward momentum.
For Monday’s session, he identified immediate support at 25,290, which aligned with the 100-day Exponential Moving Average (EMA) on the 15-minute timeframe. Below this, the index can move towards 25,240, 25,200, 25,150, and even 25,100. On the upside, immediate resistance stands at 25,350–25,360. A move above this resistance could lead the Nifty index to 25,400 and beyond.
Overall, Sharma believes that the market bias remained positive, and even if the market retraces further, there is no cause for panic, as it can be seen as a healthy correction.
Prabhat Mittal identified Nifty support at 25,180 with resistance at 25,520. For Bank Nifty, he sees support at 55,100 and resistance at 56,000.
Tech Stocks In Focus
Ashish Kyal said that the Nifty IT index and Infosys have been correcting in a flat pattern since 2022. The H1B visa fee shocker could result in a gap-down start, followed by consolidation, but he expects prices to move up then to fill the gap! He suggested traders continue to buy the dips as long as the Nifty index holds above 25,050.
Nifty IT Watch
Vinay Taparia reiterated that this policy move bodes negative news for the Nifty IT sector. The IT index had seen a formation of a double bottom breakout last week. He identified 35,500 as a crucial support going ahead.
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