Nifty Eyes Gap-Up Near 25,340; RSI Overbought

Pre-open cues are positive. GIFT Nifty is around 25,330, close to 300 points above Monday’s close, so a gap-up opening is likely. The main support is Brent crude, which dipped to near $89 and is now around $92. Nifty has moved above the falling trendline from the February high and the 200-day SMA near 24,000. The rally began from the 22,206 base, which held twice, in April and again in October. Monday was a corrective session. The index dipped to 24,839, took support near 24,890 and settled at 25,044.65, just below the Falling Window resistance at 25,140. The next resistance is 25,340, close to where GIFT Nifty is pointing. If 25,140 and 25,340 are sustained, the 26,000 zone comes into view. If the gap-up fades, 24,890 is the first support, followed by 24,740. RSI at about 78 is in overbought territory, which shows strong momentum but also a stretched rally, so consolidation can come at any time. Brent crude remains the key external factor. Heavyweights such as RELIANCE , HDFC Bank, ICICI Bank, Infosys and TCS are worth tracking. When RSI is overbought, momentum is strong but the move is stretched; support levels and the opening reaction near resistance help judge what comes next. Disclaimer: This is for educational purposes only and is not investment advice. Please consult your financial advisor before making any investment decisions. SEBI Registered Research Analyst — INH000025212.