Nifty Consolidates in 24,400–24,600 Range - Tradebulls Securities Pvt Ltd
Nifty
Nifty’s ongoing consolidation could extend within the 24400–24600 zone, with successive narrow-range candlestick formations indicating range contraction and the possibility of a decisive breakout in either direction. A sustained move above 24600, followed by a breakout zone above 24620, could trigger fresh momentum towards the 24800–25100 zone. The index continues to hold above its 5 DEMA at 24520, while the earlier breakout above 24420 remains intact and continues to act as immediate support. Momentum indicators remain constructive, with daily and weekly RSI holding above 50, while the ADX is rebounding from an extreme low, signalling the potential for a fresh directional momentum phase. On the downside, a decisive breach below 24400 could prove critical, potentially triggering a corrective move towards 24100–24000, with 24000 serving as the key riskmanagement level. Traders should continue to focus on stock-specific opportunities and selectively accumulate on dips as long as 24000 holds. Fresh momentum longs may be considered only on a sustained breakout above 24620, which could pave the way for a move towards the 25100 zone. Until such confirmation emerges, the prevailing consolidation should be approached with patience, avoiding aggressive positioning within the range. A sustained breakout above resistance would strengthen the bullish structure, whereas a decisive breakdown below 24400 would warrant greater caution and tighter risk management.
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