Stock Market Outlook July 30: Sensex Struggles Near 80,500; Can Nifty Cross 25,000 or Will Resistance Hold?

Dalal Street is likely to open on a flat to slightly negative note on Wednesday, as cautious investor sentiment prevails ahead of global cues and key earnings announcements. Benchmark indices Sensex and Nifty may see a subdued start after a mixed performance in the previous session.

The GIFT Nifty was trading 17 points lower at 24,822.50 as of 7:45 am, signaling a soft opening for Dalal Street. The slight dip reflects global uncertainty and ongoing sector-specific concerns influencing early trade direction.

Nifty, Sensex Outlook on July 30

On Tuesday, the Indian stock market saw a positive shift, ending a three-day decline. The BSE Sensex rose by 446.93 points, or 0.55%, closing at 81,337.95. Meanwhile, the NSE Nifty increased by 140.20 points, or 0.57%, finishing at 24,821.10.

The Indian markets' recovery was primarily supported by value buying in heavyweight stocks like Reliance Industries and HDFC Bank. Most sectors closed positively on Tuesday, with metals and pharmaceuticals leading the charge in gains. Despite the overall cautious sentiment due to FPI outflows and trade uncertainties with the US, these sectors showed resilience.

Trading Today: Stocks in Focus

Asian markets opened mixed as investors awaited the Federal Reserve's policy decision. Limited progress in US-China trade discussions also contributed to subdued market sentiment globally.

In India, shares of companies like Power Grid, IndiGo, Tata Steel, Hyundai, and PNB are expected to be in focus as they announce their first-quarter earnings.

Sensex Prediction Today

Sensex showed signs of a rebound after a long decline, forming a bullish pattern on the daily chart. This suggests the market could move higher from current levels. However, if it fails to stay above the 80,400-80,500 range, selling pressure might return.

Nifty Prediction Today

After falling for three straight sessions, the Nifty 50 bounced back on July 29 and closed higher, forming a bullish 'Engulfing' pattern on the chart. According to the market expert, Vaishali Parekh from Prabhudas Lilladher, the index showed a strong recovery from the 24,600 level and ended the day on a positive note. This suggests that Nifty may continue to move up in the coming sessions.

Expert Parekh said, "Nifty witnessed a strong recovery from the 24,600 zone during the intraday session with a steady gain as the day progressed and ended on a quite optimistic note above 24,800 level to expect for further rise in the coming sessions."

Nifty 50 Today on July 30: Are Traders Betting Big on Nifty 25,000?

Based on the monthly options data, the Nifty 50 may face resistance near the 25,000 level, where the highest Call open interest stands at 1.4 crore contracts. This indicates strong selling pressure at that level. The next major resistance levels are at the 25,500 and 25,200 strikes, each holding over 1.14 crore contracts.

Notably, the most significant Call writing was seen at the 25,150 strike with 2.5 lakh new contracts added, suggesting traders expect the index to struggle moving past that level. Meanwhile, heavy Call unwinding at the 24,800, 25,600, and 25,400 strikes hints at a shift in sentiment, with traders pulling back from earlier bullish bets.

On the Put side, the highest open interest is at the 24,000 strike, with 1.21 crore contracts, marking it as a key support level for the Nifty. The 24,800 and 24,700 strikes also show strong support with 88.33 lakh and 85.54 lakh contracts, respectively.

The most aggressive Put writing was observed at the 24,800 strike, where nearly 44 lakh contracts were added. This was followed by the 24,000 and 24,700 strikes, which also saw substantial additions. However, there was noticeable Put unwinding at the 25,000 strike, indicating reduced bullish sentiment at higher levels.

Disclaimer

The recommendations made above are by market analysts and are not advised by either the author, nor Greynium Information Technologies. The author, nor the brokerage firm nor Greynium would be liable for any losses caused as a result of decisions based on this write-up. Goodreturns.in advises users to consult with certified experts before making any investment decision.