Indian equities continued to show resilience in the previous session, supported by selective buying in heavyweight stocks. Despite ongoing consolidation and muted momentum indicators, benchmark indices managed to hold above key moving averages—a sign that the broader trend remains constructive but lacks conviction.

Below is the detailed trade setup for Nifty, Bank Nifty, options data, Put-Call Ratio, and India VIX to help traders plan their strategies for the day.

Setup 1 — Nifty 50: Key Resistance & Support Levels

Nifty Close: 26,034

🔸 Resistance (Pivot Points):

• R1: 26,084
• R2: 26,122
• R3: 26,183

🔸 Support (Pivot Points):

• S1: 25,963
• S2: 25,925
• S3: 25,864

📉 Market Outlook

Nifty formed a bullish candle with small upper and lower shadows, suggesting that buyers managed to retain control despite intraday volatility. This pattern often reflects a positive bias that develops within a consolidating structure.

The index stayed comfortably above the 20-day and 50-day EMAs, reinforcing medium-term strength. However, momentum indicators paint a cautious picture.

🔍 Technical Indicators

• RSI: Rose to 55.24, but continues to show a bearish crossover
• Stochastic RSI: Weakness persists
• MACD: Bearish crossover, with histogram showing further decline
• EMA Structure: Positive, supporting ongoing consolidation

💡 Interpretation

While price-action remains constructive, momentum indicators are yet to confirm a clear uptrend. Expect continued consolidation with an upward tilt, unless Nifty decisively surpasses resistance levels.

Setup 2 — Bank Nifty: Key Resistance & Support Levels

Bank Nifty Close: 59,289

🔸 Resistance (Pivot Points):

• R1: 59,486
• R2: 59,601
• R3: 59,786

🔸 Support (Pivot Points):

• S1: 59,114
• S2: 58,999
• S3: 58,813

🔸 Fibonacci Levels

• Resistance: 59,442, 60,847
• Support: 59,000, 58,650

📉 Market Outlook

Bank Nifty formed a Doji candle, reflecting uncertainty between buyers and sellers. While indecisiveness was visible, the index broke its two-day lower-high, lower-low pattern, signaling early signs of stabilization.

The overall structure remains bullish as the index continues to trade above key moving averages.

🔍 Technical Indicators

• RSI: 61.35 → Rising but still below the signal line
• MACD: Bearish crossover
• Stochastic RSI: Continued weakness
• Price Action: Doji formation + support from moving averages

💡 Interpretation

Bank Nifty appears to be pausing after recent volatility. The broader trend favors the bulls, but momentum remains soft. A breakout above resistance levels is needed for a stronger directional move.

Setup 3 — Nifty Options Data (Weekly Expiry)

📌 Call Side

• Max Call OI: 26,500 strike (1.16 crore) → major resistance
• Followed by:
  • 26,100 strike: 96.68 lakh
  • 26,000 strike: 89.97 lakh

Highest Call Writing:

• 26,500 strike: +22.57 lakh
• 26,100 strike: +18.41 lakh
• 26,050 strike: +12.79 lakh

Call Unwinding:

• 25,950 strike: –8.51 lakh
• 25,900 strike: –5.66 lakh
• 26,900 strike: –5.43 lakh

👉 A strong wall of resistance remains in the 26,100–26,500 zone.

Setup 4 — Nifty Put Options Data

📌 Put Side

• Max Put OI: 26,000 strike (99.49 lakh) → strong support
• Followed by:
  • 25,500 strike: 91.49 lakh
  • 25,900 strike: 77.22 lakh

Highest Put Writing:

• 26,000 strike: +30.22 lakh
• 26,050 strike: +22.68 lakh
• 25,700 strike: +20.01 lakh

Put Unwinding:

• 26,400 strike: –3.8 lakh
• 25,450 strike: –98,250
• 26,300 strike: –84,675

👉 Put writers strengthened support around the 25,700–26,050 band.

Setup 5 — Bank Nifty Options Data (Monthly Expiry)

📌 Call Side

• Max Call OI: 60,000 strike (14.6 lakh) → key resistance
• Followed by:
  • 59,500 strike: 12.4 lakh
  • 58,500 strike: 8.38 lakh

Top Call Writing:

• 59,500 strike: +2.33 lakh
• 60,000 strike: +1.61 lakh
• 59,400 strike: +49,665

Call Unwinding:

• 58,500 strike: –87,920
• 61,000 strike: –11,270
• 61,500 strike: –10,710

Setup 6 — Bank Nifty Put Options Data

📌 Put Side

• Max Put OI: 59,500 strike (15.43 lakh) → strongest support
• Followed by:
  • 59,000 strike: 11.66 lakh
  • 58,500 strike: 9.88 lakh

Put Writing:

• 59,500 strike: +2.69 lakh
• 59,200 strike: +81,690
• 59,600 strike: +43,575

Put Unwinding:

• 58,500 strike: –3.59 lakh
• 59,000 strike: –93,135
• 58,700 strike: –24,640

👉 Strong Put writing suggests confidence near 59,200–59,600.

Put-Call Ratio (PCR)

• PCR: 0.93 (previous session: 0.85)

📌 Interpretation:

The rising PCR indicates increased Put writing relative to Calls—typically associated with strengthening bullish sentiment, though not at an extreme yet.

A PCR between 0.7–1.0 generally aligns with consolidation or steady upward bias.

India VIX

• VIX: 10.82, down 3.52%

India VIX dropped to its lowest level since mid-October, staying below all major moving averages. This shows reduced fear and greater comfort for market participants.

However, such low volatility levels can sometimes precede sharp directional moves—especially around major data events or breakout points.

📌 Summary for Traders (Quick Overview)

Nifty

• Trading above key EMAs → constructive trend
• Momentum indicators still weak → no strong breakout signal
• Support: 25,930–25,860
• Resistance: 26,090–26,180

Bank Nifty

• Doji candle → indecision but stabilizing
• Trend remains positive above moving averages
• Support: 59,100–58,800
• Resistance: 59,500–59,720

Options Data

• Nifty Call writers active at 26,500
• Strong Nifty Put support around 26,000
• Bank Nifty Put writers defending 59,500

Sentiment

• Rising PCR
• Falling VIX
  → Market favors stability with mild bullish bias, but lacks momentum strength.

Disclosure & Disclaimer

Dhwani Patel (SEBI Registration No: INH200008608) is a SEBI-registered Research Analyst.
All views are for educational purposes only. This is not investment advice. Please consult your financial advisor before trading.