Analysts Expect Momentum To Continue If 24,900–25,000 Holds
As Q2 earnings season begins this week, traders are watching the 25,000 mark closely for confirmation of strength.
Indian equity markets ended higher last week, following a booster dose from the Reserve Bank of India’s status quo policy. The Nifty index closed near 24,900, while the Sensex reclaimed 81,000. The GIFT Nifty indicates a subdued start for the week.
Strong technical indicators suggest that the recent rebound could extend further. SEBI-registered analysts shared their outlook for Nifty on Stocktwits.
Trade Setup For Monday
Bharat Sharma of Stockace Financial Services highlighted that the market saw a strong rebound last week, with the upcoming Q2 earnings set to impact momentum going ahead. He noted that, currently, the pullback appeared strong on the daily timeframe, with two consecutive long green candles confirming the momentum. The 200-day Exponential Moving Average (EMA) is acting as a clear support level, and the market is now set to confront resistance from the 20-50-day EMAs in the 24,900–24,930 range.
The big question now is whether Nifty can sustain above 25,000. Sharma said that this is likely if the index successfully breaks the 24,900–24,930 resistance. The current setup appears healthy, making a target of 25,000–25,050 and higher feasible. As long as the downside does not breach 24,600 or the 200-day EMA, the outlook remains positive.
For intraday trade, Sharma identified 24,850 as the immediate support on the downside. A break below 24,850 may lead to levels of 24,800–24,750, with extreme negativity likely below the 24,750–24,720 zone. On the upside, he pegged immediate resistance at 24,930, followed by 25,030–25,050 range. With the weekly expiry on Tuesday, the market action on Monday would be crucial to determine sentiment, he concluded.
Ashish Kyal said the index continued to protect the previous day’s low, keeping the overall trend on the buy side. A break above the 24,920 mark is expected to resume the positive momentum, targeting levels between 24,980 and 25,020. On the downside, the Gann level at 24,728 serves as immediate support and is expected to remain intact. As long as this support holds, market timing continues to favor the buyers.
Sunil Kotak flagged that the index ended above the 50-day Simple Moving Average (SMA) on Friday, which is generally considered a bullish technical signal for short-term trends. He sees support between the 24,800–24,840 range, with resistance around 25,000.
Kotak added that the Nifty index closed above RSI 60 on the 1-hour chart, further strengthening short-term bullish sentiment. While foreign investors remained net sellers on Friday (₹1,583 crore), domestic investors bought around ₹489 crore.
For updates and corrections, email newsroom[at]stocktwits[dot]com.
