Technical Analysis

WHAT LIES AHEAD : NEAR-TERM PICTURE [EasyDNNnews:PaidContentStart]

SPOT NIFTY : 
For the second consecutive session, the 20-DMA provided support to the Nifty, while the index also took support near the 38.2 per cent retracement level of the previous upswing. It formed an inside bar on Thursday, with volumes lower than the previous session. The ongoing counter-trend consolidation is now eight sessions old. Such consolidations often find support near the 38.2 per cent retracement level around this stage, keeping the possibility of a near-term bounce open. However, a close below the 24,265-24,190 support zone would weaken the setup and could extend the consolidation. 

On Thursday, the Nifty recovered 42.5 points during the Closing Auction Session (CAS) and settled at 24,395.85. Broader market breadth remained neutral, with the advance-decline ratio at 1:1, while index breadth stayed positive. The MACD generated a fresh bearish signal, while the RSI stood at 53.33, close to the neutral zone. During the session, the index largely remained within the first-hour range and continued to form higher lows on the hourly chart. For the upmove to regain momentum, the Nifty needs to close above the previous day’s high of 24,431. The immediate resistance zone is placed at 24,480-24,530. 

Interestingly, since the introduction of CAS, the Nifty has frequently formed candles where the opening price is equal to, or high or near the day’s high. Wednesday’s range of 24,265 24,473 therefore remains important. A decisive breakout on either side of this range could set the direction for the next move. 

NIFTY DERIVATIVES: 
Nifty futures declined by 272.1 points from last Thursday’s close to this Thursday, settling at 24,467.3. Meanwhile, India VIX declined by 0.74, indicating that volatility remained relatively contained despite the weekly decline in Nifty futures. For the Nifty 50 weekly expiry on August 18, 2026, the PCR stands at 0.77, indicating higher call open interest compared with put open interest. The max pain level at 24,400 remains an important reference point for the immediate market structure. 

On the call side, notable open interest is concentrated around 24,400–25,000. The 25,000 strike holds the highest call OI at nearly 1.31 crore, making it a major resistance zone. The 24,500 strike, with OI of around 1.06 crore, also remains an immediate hurdle for the index. On the put side, strong open interest addition is visible at 24,400, indicating growing support around this level. Significant put OI is also present at 24,000 and 24,300, creating a broader support base. The concentration of put positions suggests downside protection remains stronger around these lower strikes. 

Overall, the derivatives setup indicates 24,400 as the key support, while 24,500–25,000 forms the broader resistance zone. A sustained move above 24,500 could improve momentum towards higher levels, whereas a break below 24,400 may drag Nifty towards 24,300–24,000. The immediate range remains 24,400–24,500. 

STOCK STRATEGY 

CONTAINER CORPORATION OF INDIA LTD. ...... BUY ....... CMP ₹533.50 

BSE Code ...... 531344
Target 1 .... ₹570
Target 2 .... ₹603
Stoploss ... ₹498 (CLS) 

• Current Observation: Container Corporation of India Ltd. (CONCOR) is a Navratna Central Public Sector Enterprise under the Ministry of Railways, Government of India. The company is a key multimodal Logistics player, handling containerised cargo through rail and road networks. Its network of Inland Container Depots (ICDs) and Container Freight Stations (CFSs) connects major ports with inland markets, giving it an important role in India’s domestic and international trade logistics. 
• On the technical front, the stock is trading near the pivot point of an ascending triangle on the weekly chart. Before forming this base, it had corrected 55.35 per cent from its all-time high. Volume has started to build ahead of the breakout, which is encouraging, while the Relative Strength line is rising and has moved above its previous high. 
• The stock is trading above all key moving averages, with the 30-week average turning upward. The moving average ribbon remains in an uptrend, while Bollinger Bands have started expanding, indicating a pickup in momentum. The MACD has generated a fresh bullish signal, the RSI has moved back into the bullish zone. The Elder Impulse System has formed a strong bullish bar, further supporting the setup. 
• The stock is on verge of registering a Stage-1 ascending base breakout. Sustaining above Rs 534 can open the way towards Rs 570, while a stop loss may be maintained at Rs 498. A decisive move above Rs 570 could extend the rally towards Rs 603.
   

REVIEW OF STOCK STRATEGY 

In Issue No. 43 dated August 6, 2026, we recommended State Bank of India after the stock broke out of an eight week tight consolidation base. The breakout came with a strong bullish candle and above-average volumes, signaling renewed buying interest. Following our recommendation, the stock moved higher, and on August 7, 2026, we advised investors through our notification to book profits at Rs 1,115.90.

REVIEW OF STOCK STRATEGY 

In Issue No. 41 dated July 23, we recommended Hero MotoCorp Ltd at Rs 5,174 after the stock registered a decisive breakout from a rounding-bottom formation and an ascending base, supported by strong volumes. However, the very next session saw the market open sharply lower as Brent crude oil surged past the USD 100 per barrel mark. The gap-down opening also weighed on the stock, triggering our stop-loss and prompting an exit from the position.

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