Nifty 50 Technical Report — 24th May 2025

NIFTY 50 Index: Analysis based on chart structure under daily timeframe

Market Overview:

The NIFTY 50 Index continues to maintain a strong bullish structure. Following a corrective phase, the index has resumed its upward trajectory, marked by higher highs and higher lows. This price behavior reflects ongoing institutional buying and reinforces the current trend.

Magnaspire System Highlights:

Trend Structure:

NIFTY remains firmly in an uptrend. The recent price action confirms trend continuation after a healthy pullback. The system shows a clean series of higher highs and higher lows with no significant violations of key support.

Volatility Zones:

• Blue Zone (Support Band): This zone, generated by Magnaspire’s volatility algorithm, has consistently acted as dynamic support. Price reactions within this zone suggest accumulation and trend resumption.

• Red Zone (Caution/Overbought Band): Historically marks areas of potential exhaustion or reversal. Previous contact with this zone was followed by correction, aligning with risk-off behavior.

Signal Indicators:

• Buy Signals: Generated near dynamic support zones, indicating high-probability entry points during volatility contractions.

• Sell Signals: Appeared near the red zone or after sharp upward moves, suggesting profit-taking opportunities or short-term exhaustion.

Breakout Behavior:

A breakout above recent consolidation was confirmed by a strong bullish candle with a wide body and increasing volume. This confirms a shift from correction to continuation and supports short- to medium-term bullish bias.

Current Technical Standing:

• Price Action: Trading firmly above support with no immediate signs of weakness.

• Volume Profile: Moderately rising during upswings, indicating healthy participation without overextension.

• Momentum Analysis: Positive. No bearish divergence observed at this stage.

• Risk Assessment: Watch for any close below the lower support band with volume, which may signal weakness or a shift in trend.

Analyst Takeaway:

Based on the Magnaspire System’s signals and structure-based analysis, NIFTY is currently in a well-supported bullish continuation phase. Volatility zones and signal tags are aligning with institutional behavior, and the market appears to be absorbing supply efficiently.

Unless key support zones are violated, pullbacks are likely to offer buying opportunities. Short-term consolidation or flag patterns may form before the next leg higher.

Prepared by: Jaideep Banerjee

Founder | Magnaspire Ventures