NIFTY at a Crucial Zone - BIG MOVE COMINGNifty is standing at a crucial support zone, and the next few days will determine whether the market begins a fresh rally or breaks down for a deeper decline.
At present, Nifty has taken support near 25320–25380.
This area is critical for three reasons:
Gap Support: There was a gap on the charts near 25320 from earlier trading sessions. That gap is now filled and is acting as a support level.
Trendline Retest: This same zone also touches the long-term trendline that Nifty broke earlier. Retesting that trendline is a common technical behaviour before the next big move.
50% Fibonacci Retracement: If we measure the recent rally from 24600 to 26100, then the 50% retracement level also comes exactly around 25,350. This means the market has corrected half of its move and is now testing buyers' strength.
So, this area between 25320–25380 is a major support zone where buyers are expected to defend the market.
Current Market Behaviour
For the last few sessions, Nifty has been falling, but it is still holding this support.
If the market takes support here and starts going up, it can trigger short covering.
Many short traders are keeping their stop loss near the previous candle highs, which are around 25550.
If Nifty breaks above 25550, these stop losses will get hit, and that can lead to a sharp rally due to short covering.
Upside View (If Nifty Moves Up)
If Nifty crosses 25550 and sustains above it, we can expect a good upside move:
First target: 26470 – 26500
Next target: 26900
This move can happen quickly because short sellers will exit their positions and buyers will enter aggressively.
Downside View (If Support Fails)
If Nifty breaks below 25320 and closes below it:
Next support is near 24600, but this level has already been tested earlier, so it has become a weak support now.
If 24600 also breaks, the next possible target is 24000.
This will mean that the market has entered a deeper correction phase.
Volatility & India VIX
Right now, India VIX is around 12.55, and it is slowly moving up.
This increase in VIX means uncertainty is rising, which usually supports a downside or volatile market.
If VIX cools down near 11, it will show that fear is reducing, and the market can again aim for new highs.
But if VIX keeps rising toward 15, expect more pressure and a possible fall.
Final View
Nifty is at a point where either fresh buying starts or the market breaks down.
All major indicators (trendline, gap, Fibonacci, and previous support) are pointing to this being a decisive zone.
Traders should watch 25320 on the downside and 25550 on the upside - whichever breaks first will set the next trend.
Stay patient and avoid emotional trades here - this is where big moves begin.
