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The occurrence of a Bullish Engulfing candlestick pattern near the critical support zone of 24610–24560 indicates a potential reversal; however, the price action continues to remain within its declining channel, suggesting vulnerability to further oscillation within the pattern bounds. A breach below 24560 could accelerate the decline toward 24000, while a recovery above 25000 would help preserve the range-bound structure. Technical indicators maintain a bearish bias, with the ADX above 32 signaling strong downward momentum and the RSI below 42 reflecting underlying weakness, despite oversold conditions being evident. Meanwhile, the OI-PCR at 0.71 for Nifty and 0.60 for Bank Nifty suggests scope for a short-term rebound, while India VIX below 12 keeps volatility subdued. Options data points to strong resistance at 25000 and immediate support within 24500–24700. A decisive close above 25250 is crucial to end the consolidation-cum-corrective phase. Until such a breakout occurs, traders are advised to adopt a long-short strategy with strict risk management.

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