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Below the Quote on Pre-market comment for Tuesday Feb 17 by Hitesh Tailor, Technical Research Analyst, Choice Broking

Indian equity markets are expected to begin the February 17 session on a weak note, as indicated by GIFT Nifty trading around 25,622—down nearly 95 points—signalling a cautious opening tone.

Despite sharp intraday volatility in the previous session, the Nifty managed to maintain a sustained bullish structure, reflecting strong buying interest and gradually improving sentiment. The formation of a bullish engulfing pattern on the daily chart suggests a potential upside reversal and strengthening momentum. Immediate resistance is placed in the 25,800–25,850 zone, while firm support is seen at 25,500–25,550. The RSI at 50.87 indicates neutral and balanced market conditions, neither overbought nor oversold.

Bank Nifty, after opening weak, rebounded sharply and formed a bullish engulfing pattern, highlighting a strong sentiment reversal and aggressive buying at lower levels. The index closed above last week’s high, gaining nearly 762 points, which reflects strong bullish momentum and renewed confidence in the banking sector. Key resistance is positioned at 61,150–61,250, while support remains solid in the 60,650–60,750 range.

On the institutional front, Foreign Institutional Investors (FIIs) remained net sellers for the second consecutive session on February 16, offloading equities worth ?972 crore. In contrast, Domestic Institutional Investors (DIIs) continued to provide support, extending their buying streak to a third straight session with purchases totaling ?1,667 crore.

Amid persistent global uncertainties and elevated volatility, traders are advised to maintain discipline and selectivity, focusing on fundamentally strong stocks during market corrections. Fresh long positions should be considered only after a sustained breakout of the Nifty above the 26,000 mark, which would signal a more reliable improvement in overall market sentiment.

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