Sensex and Nifty 50 Prediction: These Are Key Support and Resistance Levels Amid Volatility

Market analysts highlight range-bound trading strategies for Sensex and Nifty, with support and resistance levels signaling potential movement in the short term.

February 3, 2025: The Sensex dropped 319.22 points (-0.41%) to close at 77,186.74 on Monday, reflecting ongoing volatility in the market. Market experts emphasized level-based trading strategies to navigate the current conditions, with global sentiment playing a key role in shaping market trends.

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Sensex Analysis

According to analysts, despite the weak global sentiment, Sensex found support near the 20-day SMA (Simple Moving Average). “For day traders, 77,000 and 76,800 are key support zones, while resistance lies around 77,500 and 77,800. A dip below 76,800 could trigger a retest of the 76,500 level,” they advised.

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Nifty 50 Outlook

The Nifty 50 index closed 121 points lower at 23,482.15, forming a small green candle with a long lower shadow. Nagaraj Shetti of HDFC Securities observed, “The recent market action signals weakness but indicates the absence of sharp downside momentum. A decisive breakout above 23,500-23,600 could open doors for further upside.”

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Dr. Praveen Dwarakanath of Hedged.in noted a bullish hammer candlestick pattern and suggested that momentum indicators hint at strength. He predicted resistance at 23,800 levels, with support near 23,200.

Derivatives Market Insights

Hardik Matalia, Derivative Analyst at Choice Broking, highlighted that Nifty’s open interest data suggests resistance near 23,500, while put writing at 23,300 indicates robust support.

Bank Nifty Trends

The Bank Nifty index fell by 296.40 points (-0.6%) to 49,210.55, forming a Tweezer Bottom pattern, which signals a potential bullish reversal. Dr. Dwarakanath added, “Options data for monthly expiry indicates increased put writing at 49,000 and below, suggesting mild bullishness.”

Trading Strategy Recommendations

• Sensex: Traders should monitor 77,000-76,800 for support and 77,500-77,800 for resistance.
• Nifty 50: Resistance is projected between 23,500-23,800, with support levels at 23,200-23,080.
• Bank Nifty: The index may see mild bullishness with support near 49,000.

Tags:

• Sensex Prediction
• Nifty 50 Trends
• Bank Nifty Analysis
• Stock Market Strategy
• Bollinger Bands Analysis