Global Markets Prepare for March 24 Trading Amid Hopes of Iran Conflict De-escalation
Nifty 50 and Bank Nifty Analysis
Market Overview The Nifty 50 experienced a 2.6% loss on March 23, tracking a correction in global peers amid escalating tensions in the Iran war. However, comments by US President Donald Trump on productive talks between the US and Iran have raised hopes of de-escalation, and momentum indicators appear oversold.
Key Levels
Nifty 50
| Level | Resistance | Support |
|---|---|---|
| 22,757 | 22,847 | 22,467 |
| 22,992 | 22,377 | 22,231 |
Read also: Treasury Yields Experience Largest Increase in Two Weeks Following Release of Labor Market Data
Bank Nifty
| Level | Resistance | Support |
|---|---|---|
| 52,321 | 52,638 | 51,296 |
| 53,151 | 50,980 | 50,467 |
| 53,788 | 50,705 | 47,695 |
| 55,316 | 50,467 |
Nifty 50 Special Formation
The Nifty 50 formed a large bearish candle on the daily charts after a gap-down opening, signaling strong bearish sentiment. Momentum indicators are in the oversold zone, with the RSI falling to 27.17, indicating a potential bullish divergence near critical support and suggesting a possible short-term recovery.
Bank Nifty Special Formation
The Bank Nifty tanked 3.72% and underperformed the benchmark Nifty 50, forming a long bearish candle on the daily timeframe after a steep gap-down opening. The index traded well below all key moving averages. The MACD is extremely oversold and showing signs of losing downside momentum, while the RSI has signaled a bullish divergence, indicating stability near critical support and hinting at a possible short-term recovery.
Nifty Call Options Data
| Strike | Open Interest | Writing |
|---|---|---|
| 23,000 | 71.89 lakh | 44.81 lakh |
| 23,300 | 59.15 lakh | |
| 23,200 | 48.42 lakh |
Read also: US-Iran Tensions Spark Uptick in Oil Prices Amid Global Market Decline
Nifty Put Options Data
| Strike | Open Interest | Writing | Unwinding |
|---|---|---|---|
| 22,000 | 79.06 lakh | ||
| 22,500 | 55.16 lakh | ||
| 21,700 | 37.57 lakh | 19.66 lakh |
Bank Nifty Call Options Data
| Strike | Open Interest | Writing |
|---|---|---|
| 53,000 | 3.86 lakh | 2.5 lakh |
| 52,000 | 3.57 lakh | 2.84 lakh |
| 52,500 | 2.15 lakh | 1.96 lakh |
Bank Nifty Put Options Data
| Strike | Open Interest | Writing | Unwinding |
|---|---|---|---|
| 51,000 | 6.32 lakh | ||
| 50,000 | 5.3 lakh | ||
| 51,500 | 5.17 lakh |
Investor Takeaway
Investors should be prepared for a potential rebound in the Nifty 50, but sustainability of the rally is key.
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