Nifty Watch: SEBI RA Flags This Level As Make-Or-Break Support; Warns That A Break Below This Would Trigger Deep Correction

As US-India trade tensions rise, Indian indices face pressure despite the RBI rate pause.

Indian equity markets extended losses even as the Reserve Bank of India maintained the status quo on rates in its August review. Tariff uncertainty weighs on investor sentiment after US President Donald Trump reiterated his stance of a ‘higher’ tariff announcement on India within the next 24 hours. 

So what’s the road ahead for Indian markets? SEBI-registered analyst Saurab Jain has highlighted the importance of 24,473, the June swing low, as a critical support zone for the Nifty index. 

Technical Watch

On the technical charts, he identified 24,500 to 24,550 as a demand base where multiple rebounds have occurred. This has been reinforced by significant put option open interest around the 24,500 strike.  

Additionally, he views the June swing low of 24,473 as a final pivot, adding that a decisive break from here may bring in strong bearish momentum.  

On the upside, he sees resistance at 24,700 to 24,740. Jain noted that any move above this zone could open buying interest again.  If the index breaches the 24,800 to 24,900 range, the bulls may attempt a stronger bounce.

Market Outlook

Jain shared two scenarios going ahead. In the first instance, if the Nifty index holds above 24,550, showing resilience within the demand zone, then it is likely to respect the crucial support at 24,473 and could gradually take 24,700–24,800 resistance. 

In the second instance, if Nifty decisively breaks support below 24,473, that would signal a bearish shift, possibly drawing the index toward 24,400 – 24,200 levels. 

What Is The Retail Mood?

Data on Stocktwits shows that retail sentiment has moved from ‘neutral’ to ‘bullish’ amid ‘high’ message volumes. 

Nifty sentiment and message volume on Aug 6 as of 11:45 am IST. | source: Stocktwits

The Nifty index has risen 4% so far this year. 

For updates and corrections, email newsroom[at]stocktwits[dot]com.<

Leave a Comment