Nifty Technical Analysis: Targets 24,600 as Volatility Hits 5-Month Low

The Nifty 50 extended its winning streak for the third consecutive session on July 3, gaining 0.39 percent amid range-bound trading. Although some profit booking emerged at higher levels, the broader technical structure remains constructive after the index broke above the crucial 24,200 resistance zone.

Nifty Breaks Above 24,200 but Faces Resistance Near 24,400

The Nifty 50 opened around 200 points higher at 24,376 but failed to sustain the early momentum. Profit booking during the final hours of trade pushed the index below 24,300 before it eventually settled at 24,271, up 95 points or 0.39 percent. Technically, the breakout above 24,200 remains an important positive development.

Key Support and Resistance Levels

• Immediate Support: 24,200–24,130
• Major Support: 24,050–24,000
• Immediate Resistance: 24,400
• Major Target: 24,600

Technical Indicators and Market Momentum

Technical momentum indicators continue to improve. The Relative Strength Index (RSI) reclaimed the 60 mark, rising to 60.95 with a bullish crossover. Additionally, the DI+ line crossed above the DI- line on the ADX indicator, suggesting that buyers are gradually gaining an advantage.

Bank Nifty Continues to Underperform

Bank Nifty remained weaker than the broader benchmark, forming a sizeable bearish candle on the daily chart. Immediate resistance for Bank Nifty is placed in the 58,400–58,500 zone. A sustainable breakout above this region could extend the pullback towards 58,900 and 59,300.

Market Volatility: India VIX at Five-Month Low

India VIX fell 3.99 percent to close at 11.79, its lowest since February 12. This decline indicates growing market comfort and reduced fear among participants, which typically supports bullish sentiment.

Disclaimer: This article is for educational purposes only and should not be considered investment advice. Consult a qualified financial advisor before making decisions.