The benchmark Nifty 50 closed 0.21% lower at 24,188 on July 21, after slipping below 24,200 early in the session. The index traded in a tight range for the second day in a row, reflecting uncertainty in the market.
It stayed above the 100‑day and 10‑day EMAs, and well above the 20‑day and 50‑day EMAs, showing that short‑term averages are still trending up. If it can stay below 24,400, the market is likely to stay in a consolidation phase.
A small bearish candle with shadows on both sides formed on the daily chart, signalling indecision and no clear direction at current levels.
Over the last 25 sessions the Nifty has moved within a 24,530‑23,785 band, meaning a clear breakout is needed to trigger a strong trend.
Momentum tools such as the MACD and RSI are muted, with the MACD staying above zero and the RSI comfortably above 50, indicating a bullish backdrop but weak short‑term strength.
Jatin Gedia, VP of Technical Research at Teji Mandi, said the 24,120‑24,100 zone is key support and 24,300 is a resistance level, and expects the price action to remain range‑bound.
Options data shows that the 24,200 strike has the highest open interest for both calls and puts, making it a critical level for the next move. The short‑term trading range is likely between the 24,000 and 24,500 strikes.
The India VIX fell 2.93% to 12.6, staying below major moving averages and supporting a bullish stance. A drop below 12 could give bulls more confidence.
Bank Nifty opened near an intraday high of 58,228 but later settled at 57,835, down 0.19%. It touched a low of 57,804 before closing.
The index remains above its short‑ and medium‑term moving averages, suggesting an overall constructive trend. However, momentum indicators are neutral, hinting at continued range‑bound action.
Sudeep Shah from SBI Securities pointed out that resistance lies in the 58,300‑58,400 zone; a sustained rise could push Bank Nifty toward 58,800. Support is around 57,500‑57,400.
In summary, both Nifty and Bank Nifty are trading within tight ranges, watching key levels near 24,400 and 58,400. Traders will keep an eye on Middle East developments, oil prices, and volatility indices for clues to the next move.