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Consolidation persists within Channel formation, As Nifty continues to drift lower, forming narrow-range candles on the daily chart, indicating a phase of consolidation. Price action remains confined within a well-defined descending channel, with the support base near 24,450 and resistance capped around 25,180. While the index respected its 20-day exponential moving average (DEMA) support yesterday, it failed to reclaim the crucial pivot level of 24,800. Despite the recent softness, there are still no clear signs of a trend reversal—neither from the price structure nor from momentum indicators. Options data further reinforces a tightly defined trading band between 24,500 (support) and 25,000 (resistance), with 24,800 acting as the key pivot in the short term. On the downside, immediate support lies at 24,440, aligning closely with the 20 DEMA. A decisive close above 24,800 could revive positive momentum, potentially paving the way for a move towards the upper boundary of the channel at 25,180. Beyond this level, a breakout could trigger a fresh rally, with a medium-term target projection near 26,550, in line with the bullish flag pattern structure. Until a breakout is confirmed, 25,180 remains the key resistance to watch, while 24,500 continues to act as a strong demand zone. Traders considering long positions may do so with a stop-loss just below 24,450, especially in the face of expiry-related volatility.

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