Nifty Rebounds, Doji Near 50 DEMA Signals Indecision - Tradebulls Securities Pvt Ltd
Nifty
Nifty rebounded after testing the 24,040 gap-support zone, but formed a Doji near its critical 50 DEMA around 24,200, signalling indecision. Successive narrow-range candles continue to indicate volatility compression, while the index remains below its 20 DEMA at 24,350, making a recovery above this level crucial to arrest further weakness. Failure to reclaim 24,350 could reopen downside towards 24,040, with the weekly 0–2 trendline adding significance to this support zone. Momentum remains subdued, suggesting a gradual corrective phase. A sustained move above 24,420 is essential to revive the bullish structure, whereas a decisive break below 24,000 could accelerate weakness towards 23,850– 23,700. On the derivatives front, OI-PCR has rebounded sharply from 0.76 to 1.10, while the highest Put OI concentration remains at 24,000, indicating improving downside support and scope for a relief bounce towards 24,350. Traders should remain focused on stock-specific opportunities, with fresh aggressive longs considered only after a sustained breakout above 24,420. Until then, patience and disciplined risk management remain advisable.
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