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Nifty 

Nifty continues to consolidate around the crucial 24700 level, reflecting a phase of indecision after failing to hold this mark last week. Despite the weakness, the index remains structurally intact by staying above its 20-week EMA at 24560. The previous session was confined within the 24740–24540 range, indicating a lack of clear directional conviction among market participants. Derivatives data points to 25000 as a significant resistance, which could act as a trigger for a bullish reversal if breached. On the downside, 24700 serves as immediate support, with a fall below 24500 likely confirming a channel breakdown and opening room for a deeper correction. Technical indicators are offering conflicting signals. The ADX remains elevated above 42, suggesting an overstretched trend, while the RSI has shown a bullish crossover near 40, hinting at potential near-term strength. Moreover, oversold conditions indicated by OI PCR readings may support a short-term rebound. Volatility remains subdued with India VIX trading below 12, but any sudden spike in volatility combined with improving OI PCR could lead to bargain hunting early in the August series. Until a decisive move emerges, a cautious long-short trading strategy with disciplined risk management appears to be the most prudent approach.

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