Though market sentiment is positive, Nifty faces short-term resistance

(Nifty technical outlook​ based on the market closing on September 5)

On Thursday, the Nifty closed at 25,145.10, down by 53.60 points or 0.21%. The index 
exhibited a downward bias, likely to persist if it remains below the 25,175 level. 

The session started positively, as the Nifty opened at 25,250.50 and reached an intraday high 
of 25,275.40 during the morning trade. However, it gradually lost momentum, falling to an intraday low 
of 25,127.80 before closing at 25,145.10.

Sector-wise, media, IT, PSU banks, and metals were the top performers, while realty, auto, pharma, and FMCG sectors led the declines. The market breadth remained positive, with 1,443 stocks advancing, 1,122 declining, and 129 remaining unchanged. Notable gainers in the Nifty index included TITAN, LTIM, WIPRO, and BPCL, while the major losers were CIPLA, RELIANCE, DR REDDY, and COAL INDIA. 

Bullish trend

From a technical perspective, momentum indicators signal a bullish trend, as the Nifty continues 
to trade above both short-term and long-term moving averages. However, the index formed a black 
candle on the daily chart, closing below the previous day's level, indicating a mild bearish bias. The Nifty 
faces immediate resistance at the 25,175 level, with support at 25,100.

 In conclusion, while the overall market sentiment is positive with key sectors performing well, the Nifty faces short-term resistance that may hinder its upward movement. Sustained trading below the 25,175 level could continue the downward momentum, but if the index manages to hold above key support of 25100, a reversal may occur in the coming sessions.

 Intraday levels: Support: 25,100, 25,025, 24,950 Resistance: 25,175, 25,250-25,350 (based on 15-minute charts) 

Positional trading levels: Short-term support: 25,080-24,475; resistance: 25,600-26,150 

Bank Nifty 

In Thursday's trading session, Bank Nifty closed at 51,473.05, gaining 72.80 points. Technically, 
momentum indicators point to a positive trend, with the index holding above both its short-term and 
long-term moving averages. Although the index formed a small black candle on the daily chart, it closed 
above the previous day's level, indicating the potential for an ongoing uptrend. 

On the upside, Bank Nifty faces immediate intraday resistance at 51,500, while support is found at 
51,300. If the index trades and sustains above 51,500, a bullish trend may continue through the session. 
However, if it fails to break this level, consolidation below 51,500 is likely over the next few days. 

Bank Nifty intraday levels: Support: 51,300, 51,150, 51,000; resistance: 51,500, 51,650, 51,800 (15-minute chart). 
Positional trading levels: Support: 51,000–49,600 Resistance: 52,500–53,400.