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

Indian benchmark indices witnessed a high volatile session by ending above the 24,700 mark. The Sensex surged by 809.53 points (1.00%) to settle at 81,765.86, while the Nifty gained 240.95 points (0.98%) to close at 24,708.40.

On the daily chart, the Nifty index experienced a highly volatile session, reflecting a tug-of-war between buyers and sellers. However, a strong bullish close above the 24,700 mark indicates that buyers held the upper hand by the end of the session. Looking ahead, the 24,850 level is expected to act as a crucial resistance, followed by the psychological barrier at 25,000. A decisive breakout above 25,000 could lead the index toward higher levels. On the downside, 24,500 serves as immediate support, with 24,300 providing an additional safety net. In this volatile market environment, traders are advised to adopt a buy-on-dips strategy as long as the index remains above 24,200. For effective risk management, a strict stop-loss at 24,000 on a closing basis is recommended.

On the sectoral front, IT, Financial, Auto, and FMCG led the gains, advancing between 0.58% and 1.95%. Meanwhile, PSU Bank, and Realty were the sectors facing slightly selling pressure, registering declines ranging from 0.12% to 0.25%. The broader indices also witnessed buying, with the Nifty Midcap 100 rising by 0.57% and the Nifty Smallcap 100 surging by 0.83%.

The India VIX increased by 0.54% to 14.53, indicating a slight rise in market volatility. Open Interest (OI) data reveals the highest OI on the call side at the 24,800 and 25,000 strike prices, representing significant resistance levels. On the put side, OI concentration at the 24,500 and 24,300 strike prices identifies these as key support levels.

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