Technical charts signal caution with a Tweezer Top near highs, but analysts maintain a bullish bias as long as Nifty stays above 25,000.
After an eight-day winning streak, Indian markets took a breather on September 15, ending with modest losses. Investors will be watching for developments on the US-India trade deal after US chief negotiator Brendan Lynch arrived in India for a one-day meeting with India’s chief negotiator Rajesh Agrawal for the ‘continuation’ of talks. This is the first sign of resumption since US President Donald Trump imposed 50% tariffs on India.
SEBI-registered analysts have shared the trade set-up for Tuesday as we head into the weekly expiry session.
Trade Setup For September 16
Analyst Mayank Singh Chandel noted that on Monday, the Nifty index saw a Tweezer Top-like pattern emerge on the daily chart near the August swing high of 25,154, signaling caution as sellers stepped in at higher levels. This is the second consecutive session where Nifty failed to decisively cross the 25,150 resistance zone, with intraday highs capped around 25,138–25,139.
However, he believed that despite this breather, the larger trend remains bullish as long as the index sustains above the 25,000 mark. Holding this key level could keep the rally intact, with the next hurdle seen at 25,150–25,250.
Immediate support level is seen at 25,050, and critical support at 24,900. A break below this may invite renewed selling pressure. On the upside, immediate resistance is seen at 25,100–25,150, followed by 25,250, and a breakout above this zone may trigger momentum towards 25,500.
Nifty’s Relative Strength Index (RSI) has cooled to 59.01, slipping below 60, but still maintains a bullish crossover, indicating consolidation rather than trend reversal. Weekly derivatives positioning suggests tight consolidation between 25,000 and 25,200.
Overall, Chandel flagged that the Nifty index is at an inflection point near 25,150. A decisive breakout above this level could open the path towards 25,250–25,500, whereas failure to sustain above 25,000–25,050 may trigger mild profit booking towards 24,900. He advised traders to stay cautious at higher levels while protecting profits and wait for a clear breakout above 25,150 for aggressive long positions.
Bharat Sharma of Stockace Financial Services noted that with expiry scheduled for today, a strong and clear chart formation has emerged. Within the 15-minute timeframe, a descending flag pattern is visible, which typically signals a bullish formation.
Sharma highlighted two implications of this chart formation: if the index breaks above the upper boundary of the channel, the pattern could activate and generate an upward movement of at least 50–60 points. On the other hand, if the lower boundary is breached, the pattern would be void, and attention must shift to specific levels for further direction.
He identified immediate resistance at 25,100, followed by 25,140-25,150. If these levels are breached, it may test between 25,200 and 25,250. On the downside, immediate support was seen at 25,040, 25,000, and 24,980. If the Nifty falls below this, one can expect an intensive collapse, he added.
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Prabhat Mittal pegged Nifty support at 24,980, with resistance at 25,220. For Bank Nifty, he sees support at 54,500 and resistance at 55,300.
Stocks On The Radar
And Financial Sarthis has flagged four breakout stocks to watch –
Havells: A sideways channel pattern has been spotted and the stock is coiling up at a key resistance, which, once crossed, can fill the gap.
Piramal Pharma: The resistance around ₹205-206 is the key level to watch. A break above this could see the stock target new highs.
360 One: A high probability of the stock breaching the mother candle, which can take it to ₹1,105 & ₹1,120.
IREDA: The immediate resistance to watch is the recent high of ₹154.44. A break above that could open the path towards ₹160+.
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