Nifty Faces Resistance At 25,200: Will Bulls Extend The Rally?

A sustained move above it could trap shorts and extend the uptrend, while 25,080 remains key support.

Indian equity markets had a steady session on Thursday, bouncing from the 20-day moving average. The Nifty index ended closer to 25,200, led by strong buying in IT, metals, and pharmaceuticals.

Will the markets sustain this momentum? SEBI-registered analysts shared the trade set-up for October 10 on Stocktwits.

Trade Setup For Friday

From a technical perspective, Bharat Sharma of Stockace Financial Services flagged that 25,200 remains the immediate resistance for the Nifty index in Friday’s session. If it manages to break past this decisively, a further move toward the 25,240–25,250 zone may follow.

For an indication of renewed market strength, the Nifty index must sustain above these levels, possibly triggering a sharp rally toward 25,290–25,360, as short positions could get trapped within that resistance zone.

On the downside, immediate support is seen at 25,170. A breach below this level could lead to a test of 25,130, which is likely to serve as a crucial intraday support. A fall below this would open the doors to 25,080, 25,030, 25,000, and even 24,980. 

Watch for the auto sector on Friday as China announced a ban on the export of certain rare metals, including graphite and lithium-ion materials. Also, IT remains in focus due to modest Q2 earnings from bellwether Tata Consultancy Services (TCS) last evening.

Dipak Takodara reiterated that while the market momentum supported the bulls with the Relative Strength Index staying above 50 and rising, the 25,200–25,250 cap is still the key resistance.

Analyst Prabhat Mittal identified Nifty support at 25,080 with resistance at 25,220. For Bank Nifty, he sees support at 55,800 and resistance at 56,700.

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