Nifty and Bank Nifty form Doji patterns amid mixed indicators signaling indecision

Hans India

3 days ago

The Nifty 50 formed a Doji-like candlestick pattern on the daily chart, indicating indecision between bulls and bears. The index remains above its short-term moving averages, with the Relative Strength Index (RSI) at 61.02 showing a positive crossover. The MACD also remains in positive territory, though the fading histogram points to weakening momentum.
Bank Nifty Analysis – Key Levels (56,949):
Resistance (Pivot Points): 57,100, 57,174, 57,294
Support (Pivot Points): 56,860, 56,786, 56,666
Resistance (Fibonacci): 57,566, 58,224
Support (Fibonacci): 56,389, 59,096
Bank Nifty mirrored Nifty's lackluster movement with a Doji-like pattern on low volumes. Though trading above short-term MAs and the midline of Bollinger Bands, the index is showing signs of caution. The MACD has turned negative, and both the RSI (57.93) and Stochastic RSI suggest weakening bullish strength.
Nifty Call Options – Weekly Data Highlights:
Max Call OI: 26,000 strike (1.04 crore) – Key Resistance
Next Major Strikes: 25,500 (88.99 lakh), 25,600 (79.57 lakh)
Call Writing Dominated At:
25,600 (26.48 lakh contracts added)
26,000 (20.49 lakh)
25,500 (18.73 lakh)
Call Unwinding At:
25,700 (5.04 lakh shed)
25,350, 25,300 (lower unwinding)
Nifty Put Options – Support Zones:
Max Put OI: 25,000 strike (70.17 lakh) – Strong Support
Other High Strikes: 25,300 (67.23 lakh), 25,400 (63.3 lakh)
Put Writing Dominated At:
25,300 (22.87 lakh contracts added)
25,400 (14.33 lakh)
24,800 (10.68 lakh)
Put Unwinding At:
25,200 (5.88 lakh shed)
25,100, 25,600 (moderate unwinding)
Bank Nifty Call Options – Monthly Data:
Max Call OI: 56,000 (14 lakh)
Next Highest: 57,000 (11.61 lakh), 57,500 (9.76 lakh)
Call Writing Strongest At:
57,000 (68,285 contracts)
57,500 (65,555)
58,000 (30,205)
Call Unwinding At:
58,800 (9,485 contracts)
56,800, 58,900 (moderate unwinding)
Bank Nifty Put Options – Monthly View:
Max Put OI: 56,000 (21.12 lakh) – Crucial Support
Next High OIs: 57,000 (12.84 lakh), 56,500 (5.79 lakh)
Put Writing Strongest At:
56,500 (24,045 contracts)
57,200 (19,670)
55,900 (16,135)
Put Unwinding At:
56,800 (38,920 contracts)
57,500, 57,100 (notable unwinding)
Put-Call Ratio (PCR):
The Nifty PCR rose to 0.95, up from 0.93 in the previous session, signaling growing bullish sentiment. A rising PCR above 0.7 often reflects an increase in Put writing, implying traders expect the market to remain firm. A drop below 0.7 would hint at bearishness.
While both indices have formed indecisive candlestick patterns, key indicators like RSI, MACD, and options data show mixed sentiment. Traders are advised to watch support at 25,000 (Nifty) and 56,000 (Bank Nifty) closely, while keeping an eye on resistance around 26,000 and 57,000, respectively. The market is delicately balanced, leaning towards cautious optimism.