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Below the Quote on Pre-Market Comment 11 July 2025 by Mandar Bhojane, Research Analyst, Choice Broking Ltd

Indian benchmark indices are expected to open on a negative note today, as indicated by the GIFT Nifty, which suggests a decline of around 140 points in the Nifty 50. Market sentiment remains mildly indecisive, following a cautious close in the previous session.

Nifty Index formed a Bearish Engulfing pattern on the daily chart, hinting at a short-term reversal. It is hovering near the 0.382 Fibonacci level and key support at 25,330–25,300. A breakdown below this zone may push it towards 25,100–25,000. On the upside, resistance is placed at 25,500, with a major hurdle near 25,600. The index remains under pressure unless it reclaims these levels.

Bank Nifty faced rejection at higher levels, forming a Bearish Engulfing candlestick on the daily chart which is a sign of short-term weakness. This suggests renewed selling pressure after a recent rally. Immediate support lies at 56,700–56,500, with a breakdown possibly taking it to 56,000. On the upside, resistance is at 57,000, with a key hurdle at 57,300–57,500. A breakout above this zone is crucial for bullish momentum to resume.

The Foreign institutional investors (FIIs) bought equities worth Rs 221 crore on July 10, while Domestic institutional investors (DIIs) also purchased equities worth Rs 591 crore on the same day.

Given the current environment marked by uncertainty and elevated volatility, traders are advised to adopt a cautious “wait and watch” approach, particularly with leveraged positions. Booking partial profits on rallies and employing tight trailing stop-losses is recommended. Fresh long positions can be considered only if Nifty sustains above the 25600 mark. Overall, while sentiment remains cautiously bullish, traders should keep a close eye on key technical levels and evolving global cues.

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