Analyst Anil Singhvi highlights support zones and profit-booking areas for Nifty 50 and Bank Nifty, amid signs of overbought conditions and rising profit-taking risks despite positive global cues.
Anil Singhvi said Nifty 50 is likely to find support at 24,235-24,335 on Friday, with a stronger buying zone at 24,075-24,175, even as he flagged 24,575-24,675 as the area where traders should consider booking profits. For Bank Nifty, he outlined support at 57,250-57,475 and deeper buying interest at 56,925-57,150, while placing the higher band at 57,800-57,975 and a stronger sell zone at 58,075-58,250. Zee Business reported that Singhvi’s overall read on the session was mixed but constructive, with global cues positive, domestic institutions supportive and foreign investors still negative.
The setup comes after a run that has left Nifty 50 looking stretched on short-term charts. Business Standard said analysts had already described the index as overbought, with momentum indicators such as RSI, MACD and Stochastic pointing to the risk of near-term profit-taking. That view matches Singhvi’s emphasis on selling into strength rather than chasing the index higher, especially as the benchmark trades close to record territory and remains vulnerable to a pullback if sentiment cools.
For traders holding longs, Singhvi advised a stop-loss at 24,250 for Nifty and 57,450 for Bank Nifty. The market tone, he said, remains positive overall, but derivatives positioning is not fully supportive: foreign institutional investors have trimmed long exposure, while the Nifty put-call ratio held at 0.92 and the Bank Nifty ratio stood at 0.92, little changed from the previous session. That combination points to a market that is still holding its trend but is not yet signalling a decisive breakout.
Other market commentary has also highlighted the importance of key psychological levels. Moneycontrol has said Nifty’s ability to stay above 24,000 remains central to the bull case, with a break below that mark opening the way towards lower support zones. It also suggested Bank Nifty traders should stay cautious and look for opportunity near support rather than forcing trades in the middle of the range. In that context, Singhvi’s levels frame a market that may continue to rise in steps, but one where sharp intraday gains could invite profit-taking rather than fresh conviction buying.
Disclaimer: This article is intended to inform and educate, not to recommend or endorse any financial product, investment or strategy. Please consider your own financial circumstances and seek professional advice where appropriate before making financial decisions.
