How will Nifty React On 22 September 2025?
The market mood on September 19, 2025, reflected cautious investor behavior. After an initial flat opening, heavy profit booking in the first trading hour dragged Nifty below the 25,350 mark. For the remainder of the session, the index oscillated in a narrow band between 25,285 and 25,360, ultimately closing lower by 0.38 percent. Interestingly, the Nifty Midcap 100 index showed relative strength and ended almost unchanged with a minor gain of 0.04 percent.
About the Market Environment
Indian equities are navigating a phase where global cues, foreign inflows, and sectoral rotation play a crucial role. Brokerage houses continue to highlight how institutional activity is shaping near-term sentiment. Investors are also closely watching the performance of PSU banks and real estate, both of which delivered outperformance despite broader market weakness. The divergence between large-cap and mid-cap trends shows that selective buying continues to drive resilience in certain pockets of the market.
Nifty closed at 25,312 with a loss of 0.38%, while Nifty Midcap 100 ended flat at +0.04%.
Sectoral Performance
Sectors exhibited mixed momentum, with pockets of strength emerging even in a weak market. PSU banks and realty counters witnessed active buying, supported by strong balance sheets, housing demand, and hopes of sustained government support. On the other hand, consumer durables and financial services faced pressure as profit booking was more pronounced in these spaces.
Top gainers: PSU Banks, Realty
Laggards: Consumer Durables, Financial Services
Institutional Activity
Institutional flows remained supportive as both FIIs and DIIs turned net buyers. FIIs bought equities worth ₹390.74 crore, while DIIs added a robust ₹2105.22 crore. This dual participation helped limit downside pressure and reinforced confidence in medium-term market stability.
FIIs: +₹390.74 crore
DIIs: +₹2105.22 crore
FII Index Futures Data
Foreign investors’ positioning in index futures gave a cautious signal. The data showed net shorts on Nifty and Bank Nifty futures, with modest long positions visible in Midcap Nifty and Nifty Next 50 contracts.
Nifty: -2,697
Bank Nifty: -827
Fin Nifty: 2
Midcap Nifty: 250
Nifty Next 50: 158
Options Market Insights
Options data signaled bearish undertones as call writers dominated. The heaviest concentration of call OI was at 25,400, while the significant put support stood at 25,300. The Put-Call Ratio at 0.82 further tilted sentiment toward caution. The max pain point at 25,350 and VWAP range between 25,245 and 25,460 indicated that short-term movement may remain restricted within this band.
Strong Call OI: 25,400
Strong Put OI: 25,300
PCR: 0.82 (Bearish bias)
Max Pain: 25,350
VWAP Range: 25,245 – 25,460
For investors, the higher level of call writing compared to puts reflects a bearish setup in the short term. While downside is cushioned by DII buying, upside appears capped unless global cues turn supportive.
Investor Takeaway
September 22 trading showed how profit booking continues to dictate near-term Nifty moves. While PSU banks and real estate showed resilience, the broader trend remains range-bound with bearish bias. Institutional inflows are acting as a safety net, but option data suggests limited upside in the immediate term. Investors are advised to stay selective, maintain strict stop losses, and closely track global market signals before making fresh entries.
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SEBI Disclaimer: The information provided in this post is for informational purposes only and should not be construed as investment advice. Readers must perform their own due diligence and consult a registered investment advisor before making any investment decisions. The views expressed are general in nature and may not suit individual investment objectives or financial situations.
