Trade setup for February 3: Following the continuous rise in the last four trading sessions, the Nifty 50 index was seen in the Nifty 50 index during the Union Budget 2025 in Parliament. On February 1, the BSE Sensex closed at 77,505.96 with a slight gain of 0.01 per cent. At the same time, the Nifty 50 index fell 0.11 percent to the level of 23,482.15. The market broke the process of decline by three weeks and gained more than 1.5 per cent between positive domestic signals this week.
How was the market reaction on Budget Day?
On February 1, a strong rally was observed at the Consption Stocks amid the budget. In this, Nifty FMCG and Tourism Index were the top gainer. On the other hand, there was a huge decline in shares related to CAPEX, in which Defense, PSU and Capital Goods Index broke more than 3%. Meanwhile, auto stocks rose due to the proposed tax rebate, which closed with a gain of about 2%.
Now investors will look at corporate earnings and RBI MPC meetings. Soon other companies including Bharti Airtel, ITC, Titan, Hero MotoCorp and M&M will release the results of the December quarter. In addition, FII flow, high frequency economic data and global signal will remain the major factor. On Saturday, foreign investors became a net seller in the cash market, while domestic investors remained a pure buyer.
Now these levels will be important for Nifty
According to Nagraj Shetty of HDFC Securities, the fundamental trend of Nifty remains positive, but the market is facing stringent resistance at 23500-23600 levels. If the Nifty crosses this level decisively, it can move towards 24000 in the near future. At the same time, Imidiet Support is present at the level of 23300.
LKP Securities’s metaphor Dey said that Nifty was seen fluctuating during the budget session. A small body candle is made on the daily chart, which shows uncertainty. The Nifty has support at the level of 23280, and as long as it remains above it, the trend can remain positive. Nifty at the upper level can go up to 23,700–24,000. However, if it falls below 23,280, the market may increase nervousness.
Osho Krishnan of Angel One said, “Talking about technical, 23400 – 23350 levels of 20 DEMA (Daily Experience Moving Average) for Nifty will serve as imidiet support. If there is any fall, then 23100 – 22800 major There will be support zones. At the same time, around 23670-23700, 50 Dema and the upper band of ‘Falling Wage’ around 23800 – 24000 are likely to work as a major resistance level in the upcoming period. “
Ajit Mishra of Religare Broking says that if the Nifty goes decisively above 23,650, it can open the way of recovery up to the zone of 23,900–24,200. At the same time, it will be very important to have a support level of 23,000–23,300 at the bottom.
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