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

The Indian benchmark indices opened negative, but strong buying at lower levels helped the Nifty index close on a positive note slightly below the 22,500 mark. The Sensex slightly down by 12.85 points (0.02%) to settle at 74,102.32, while the Nifty gained 37.60 points (0.17%) to close at 22,497.90.

On the daily chart, the Nifty index formed a bullish-bodied candle, opening near the day's low and closing near the day's high, indicating strong buying momentum throughout the session. This price action suggests that bulls were in complete control. If the index sustains above key resistance levels, it could confirm further upside potential. However, failure to hold gains may lead to consolidation or a pullback. On the downside, immediate support is at 22,400, and a break below this level could trigger further selling toward the 22,300–22,200 range. On the upside, immediate resistance is seen at 22,550, with a critical hurdle near 22,700. Sustaining above these levels is essential to pause the ongoing downtrend. Given the heightened volatility, traders are advised to maintain strict stop-loss measures and avoid overnight positions to protect capital.

On the sectoral front, the Realty, Financial Services, Metal, and Energy sectors posted gains, rising between 0.51% and 1.63%. In contrast, the IT, Auto, and Media sectors saw notable declines, with losses ranging from 0.18% to 0.65%. The broader market indices saw mixed sentiment, with the Nifty Midcap 100 index rising by 0.67% and the Nifty Smallcap 100 index declined by 0.80%.

The India VIX rose 0.63% to 14.0725, reflecting a slight increase in market volatility. This indicates growing uncertainty among traders, which could lead to sharp price swings in the near term. Open Interest (OI) data shows the highest OI on the call side at the 22,600 and 22,700 strike prices, highlighting strong resistance levels. On the put side, OI is concentrated at the 22,400 strike price, marking it as a key support level.

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