TRADE SET-UP: Global context turned risk-off after a sharp US tech selloff. Stronger-than-expected US jobs data reduced hopes of a near-term Fed rate cut, pushing yields higher.

This “higher for longer” rate narrative hit growth and IT stocks hard. The Indian IT index dropped sharply, reflecting global valuation pressure.

Primary Reasons Behind the IT Selloff

• AI disruption fears after Anthropic’s Claude-related developments

• Structural threat to traditional manpower-based IT billing models

• Strong US labor data reduces the probability of rate cuts

• Higher yields compressing growth stock valuations

Technical Outlook and Derivative Data

NIFTY

• Resistance: 26000 Call writers firmly in control

• Support shift: Put writers moved base from 25800 to 25700

• Below 25700: Risk opens toward the 25500 zone

• Structure suggests defensive positioning by the Bulls

BANK NIFTY

• Immediate Support: 60440

• Major Support: 60000 psychological zone

• Resistance: 61000 heavy call concentration

• Intraday recovery is possible only above the 60900 breakout zone

Intraday Levels

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

Overall Sentiment

Cautiously negative with sectoral pressure led by IT.

Bias remains defensive unless 26000 is reclaimed decisively.

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.