Nifty Slips Below 24,000 As Selling Continues: What Should Traders Watch Next?
Market Overview
Indian equity markets ended lower for the fourth consecutive session, although benchmark indices recovered from their intraday lows.
Market breadth remained weak with declining stocks outnumbering advancing stocks by nearly 2:1, indicating broader selling pressure.
Nifty slipped below the crucial 24,000 level, while Bank Nifty continued to hover near the important 56,500 support zone.
All three major indices—Sensex, Nifty and Bank Nifty—continue to trade below their 20-hour and 50-hour exponential moving averages, suggesting that short-term momentum remains weak. However, the hourly RSI has entered the oversold zone, increasing the probability of a technical pullback if buying interest emerges.
Key Levels For July 24, 2026
| Index | Support | Resistance |
|---|---|---|
| Nifty | 23,800 • 23,650 | 24,000 • 24,150 |
| Bank Nifty | 55,750 • 55,050 | 57,050 • 57,500 |
| Sensex | 76,000 • 75,400 | 76,800 • 77,200 |
Option Chain Snapshot
🔹 Heavy Call writing emerged at 23,900, indicating strong supply near higher levels.
🔹 Put additions remained limited at 23,800.
🔹 PCR (Open Interest): 0.70, reflecting a cautious to bearish sentiment.
Sector & Stock Highlights
Weak Sectors: Financials, Oil Marketing Companies and Paint stocks.
Strong Performers: Bajaj Auto, SBI Life, Medanta, Mahindra & Mahindra and RK Forge.
Major Losers: Adani Enterprises, Shriram Finance and Nestlé India.
Corporate Earnings In Focus
- Infosys: Profit rose 12.3% YoY, though FY27 revenue guidance was lowered.
- IndiGo: Reported a quarterly loss amid higher fuel costs and geopolitical disruptions.
- Cipla: Profit declined while revenue posted modest growth.
- Ujjivan Small Finance Bank: Strong earnings with sharp profit growth.
- PVR Inox: Returned to profitability with healthy revenue growth.
Trading Outlook
The market remains under pressure as Nifty trades below the psychologically important 24,000 level. Continued trading below short-term moving averages keeps the trend weak.
However, the oversold hourly RSI suggests that a short-covering bounce cannot be ruled out if Nifty successfully holds the 23,800 support zone. A sustained move above 24,000 would be the first indication of improving momentum, while a break below 23,800 may expose the index to further downside towards 23,650.
Investor Takeaway
Derivative Pro & Nifty Expert Gulshan Khera, CFP® believes market sentiment remains cautious as persistent FII selling, weak market breadth and aggressive Call writing continue to weigh on short-term momentum. Traders should closely monitor the 23,800 support and 24,000 resistance, as a decisive breakout or breakdown from these levels is likely to determine the next directional move.
Read more market insights at Indian-Share-Tips.com.
