Trade Set-Up (Relief After Panic): The global mood has shifted from panic to relief overnight.

US markets rallied sharply (Dow up ~600 points) after President Trump de-escalated tariff threats against European nations related to the Greenland trade framework.

GIFT Nifty is trading at a premium, suggesting a positive opening bias for Indian markets.

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

Options Data – Short Covering Zone

NIFTY

• PCR around 0.69, indicating a bearish structure, but vulnerable to short covering

• Highest Call OI at 25300 and 25400

• Opening above these levels may trap call writers, triggering upside momentum

• Immediate support placed at 25150–25100

• The first 30 minutes will be crucial for direction confirmation

BANK NIFTY

• Heavy Call writing earlier seen at 59000 and 59500

• A higher open could force call writers to cover, leading to a sharp bounce

• Early price action in the first 30 minutes will decide momentum

• Potential technical bounce toward 59445–59600 if short covering accelerates

Technical Context

Yesterday, Nifty briefly slipped below the 200-day SMA intraday but recovered by close—signaling strong buying interest at lower levels.

If call sellers start unwinding positions today, a technical bounce toward 25460 is possible.

Trading Approach for Today

• Volatility expected in the first hour

• Focus on capital protection, not aggressive trades

• Let the market structure reveal itself before committing

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.