TRADE SET-UP: Two key concerns drove the US market sell-off on Thursday.

First, the cooling labor market as JOLTS job openings hit a 5-year low, signalling that the US economy may be slowing faster than expected.

Second, Amazon’s capex shock, where the stock fell sharply after announcing a massive 200 billion dollar capital expenditure plan for 2026. Investors are now worried that Big Tech's AI spending may not translate into near-term profits.

Gift Nifty indicates a soft-to-cautious opening for the Indian market.

OPTIONS DATA ANALYSIS:

• Call writers are aggressive at 25800, indicating strong overhead resistance

• Put writers are being covered below 25600, suggesting nervousness around this level

• If Nifty opens and sustains below 25600, a slide towards 25500 to 25450 is possible

• Any recovery requires Nifty to reclaim and sustain above 25750, which looks unlikely in the first half, given global cues

NIFTY BANK NIFTY RANGE FOR 06.02.2026

Key intraday trading levels for Nifty and Bank Nifty based on options positioning.

BANK NIFTY VIEW:

• Bank Nifty remains relatively resilient compared to Nifty

• Sustaining above 60175 keeps the structure stable

• Below 59100, downside pressure can accelerate

OVERALL SENTIMENT:

Cautious to range-bound with downside risk if key supports fail.

STRATEGY:

• Avoid aggressive trades at the open

• Let volatility settle during the first 45 minutes

• Trade only after confirmation near key levels

Disclaimer: We are not a SEBI-registered Research Analyst or Investment Advisor.

You are solely responsible for your trading decisions. Always perform your own due diligence or consult a certified financial planner before executing any trade.