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Below the Quote on Post Market Comment by Hardik Matalia, Derivative Analyst, Choice Broking

Indian benchmark indices witnessed strong buying after a flat opening and closed above the 24,250 mark. The Sensex surged by 230.02 points (0.29%) to settle at 80,234.008, while the Nifty gained 80.85 points (0.33%) to close at 24,275.35.

On the daily chart, the Nifty index formed a small-bodied bullish candle with both upper and lower wicks, indicating indecision in the market. This pattern reflects a tug-of-war between buyers and sellers, though the bullish close suggests that buyers had a slight edge by the end of the session. It traded sideways in a narrow range in the start of the session but buyers pulled the Nifty index higher to close at 24275.35 mark. Looking ahead, the 24,000 level is expected to serve as a crucial support zone. A decisive break below this level could push the index toward the 23,800–23,600 range. On the upside, 24,500 remains a significant resistance level, and a sustained breakout above this mark could pave the way for further gains. In the current volatile environment, traders are advised to follow a buy-on-dips strategy as long as the index holds above 24,000. To manage risk effectively, a strict stop-loss at 23,800 on a closing basis is recommended.

On the sectoral front, Energy, Media, Metal, and Financial Services led the gains, advancing between 0.52% and 1.45%. Meanwhile, Pharma, Realty, and IT were the major losers, registering declines ranging from 0.15% to 0.61%. The broader indices also witnessed buying, with the Nifty Midcap 100 rising by 0.64% and the Nifty Smallcap 100 surging by 1.30%.

The India VIX decreased by 4.44% to 14.6250, indicating a decline in market volatility. This reflects improved investor confidence and a more stable trading environment for the near term. Open Interest (OI) data reveals the highest OI on the call side at the 24,300 and 24,500 strike prices, representing significant resistance levels. On the put side, OI concentration at the 24,200 and 24,000 strike prices identifies these as key support levels.

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