Market Update

NIFTY DAILY CHART

SUPPORT: 22250-21700 RESISTANCE: 24000-24300

Nifty opens higher to 23855, +3.16% as Trump U-turns to TACO Ceasefire from severe threats. However, Nifty charts was indicating a relief rally is place as a reversal on daily chart above 22940 & Falling Range Breakout above 23000 was spotted on Tuesday, which paved way for the market bounce to 23800-24260 based on pattern target & retracement levels, before any ceasefire was announced.

The current bounce is also result of extreme oversold levels in the short-term. Nifty may see gains to 24100, 24260(50% retracement) levels as part of the corrective bounce and temporary sentiment effect, followed by a consolidation around 23800-24000 levels.

On the weekly chart, a Re-testing of Trendline Breakdown extension to 24100 is visible, the war is far from over & ceasefire can’t build the destroyed oil & gas facilities overnight, its cascading impacts of supply chain shock may soon lead to demand shock as consumers delay spending money and the investment cycle in the economy.

A bounce to 24100-24300 is an opportunity to exit weak long positions amid the crisis, and to add contra sort bets on Nifty.

Tradzo maintains cautious view and Nifty target of 19000-17000 for 2026 as per Global Macro-economic headwinds led Recessionary-Tail Risk and advice to reduce weak long positions in overvalued stocks based on trailing valuations and ignoring over-estimated forward ratios.

Read full of Analysis of Nifty50 here for broader view.

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Tradzo Research
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