Nifty Faces Resistance Again: Is 25K a Ceiling Now?

Small Cap Outperform

Nifty faces resistance — again. After tiptoeing above the 25,000 mark earlier this week, the index slipped back on Tuesday, ending the session down 163 points at 24,837.70. This marks yet another rejection from the same overhead zone that’s now been tested multiple times over the past few weeks.

Sensex dropped 591 points, while Nifty Bank and IT indices also closed in the red, down 0.40% and 0.70% respectively. The only bright spot? Smallcaps, which eked out a modest gain of 0.20%, suggesting risk appetite is still intact — selectively.

This repeated stall at resistance comes as markets await clarity from the final batch of Q4 earnings, global macro cues, and pre-election positioning. So, is this just a routine pause in an uptrend, or are the bulls running out of steam?

We decode the chart structure, highlight sector rotations, and pinpoint where opportunity might still be hiding — despite the index hesitation.

Nifty Outlook: Rejection Repeats as 25K Remains Elusive

Nifty faces resistance once again at the now-familiar 25,077 mark — and this time, the rejection comes with elevated volume and a clear bearish candle, raising short-term caution. The index ended Tuesday at 24,837.70, and price action now suggests a potential double top pattern in formation.

Volume & Price Action

• Volume: 525.63M – above average, indicating active selling or short buildup
• Candle Structure: Strong red candle formed near resistance
• Pattern Risk: A double top is now developing, with 25,077 acting as the ceiling for the third time

Key Levels to Watch

Type	Level	Commentary
Resistance 1	25,077	Multiple rejections – key breakout point
Resistance 2	26,266	Next upside target if 25,077 is taken out cleanly
Support 1	24,500–24,600	Minor demand zone – currently holding
Support 2	23,800	Major support from previous breakout zone

Outlook for Today

• Bias: Slightly bearish, unless a strong move reclaims 25,000 early in the session
• Break Below 24,500: May trigger swift downside toward 24,200 or even 23,800
• Bounce from 24,500–24,600 Zone: Could lead to sideways consolidation or minor recovery
• Strength Only Above 25,077: That’s the level bulls must reclaim for the uptrend to continue

Trading Plan (Intraday & Short-Term)

• Sell-on-Rise:
  • Entry: 24,950–25,000
  • Stop-loss: 25,100
  • Targets: 24,500 / 24,200
• Buy-on-Dip (Only If 24,500 Holds):
  • Entry: 24,520–24,600
  • Stop-loss: 24,400
  • Target: 24,900–25,000

Caution Ahead

This is F&O expiry week, and election-related sentiment may also start influencing short-term trades. A gap-down below 24,500 on global cues could trigger panic selling, especially in high-beta stocks.

Conclusion

Nifty faces resistance at a major level once again, and this time the rejection is louder — backed by volume and a failure to hold gains. For bulls, the path is clear: reclaim 25,077 to invalidate the bearish setup. Until then, weakness below 24,500 opens the door to a larger correction.

Stocks in News

Fusion CX Files for ₹1,000 Crore IPO

What happened:
Fusion CX, a consumer-focused fintech platform, has filed draft papers for a ₹1,000 crore IPO, comprising a ₹600 crore fresh issue and a ₹400 crore OFS.

Why it matters:
The deal signals continued investor appetite for tech-enabled financial services. The company plans to use proceeds for scaling operations and tech upgrades.

Forward View:
IPO market momentum remains stock-specific. Investors will watch valuation, profitability, and tech differentiation closely in this case.

NSE Offers ₹1,000 Cr to Settle With SEBI, Eyes IPO Revival

What happened:
India’s largest stock exchange, NSE, has reportedly offered ₹10 billion (~$118M) to settle ongoing SEBI investigations — potentially clearing the path for its long-delayed IPO.

Why it matters:
This could finally lead to one of the most awaited IPOs in Indian history, with pre-IPO valuations already soaring.

Impacted Stocks:

• BSE Ltd (short-term peer re-rating)
• Angel One / CAMS (sentiment spillover into broking ecosystem)

Forward View:
If settlement is confirmed, expect renewed institutional demand and grey market activity ahead of DRHP approval.

JioBlackRock JV Gets SEBI Nod for MF Business

What happened:
Jio Financial Services and BlackRock’s 50:50 JV has received SEBI approval to launch mutual fund operations under the brand JioBlackRock AMC.

Why it matters:
This adds a serious new player to India’s ₹50 lakh crore mutual fund industry, combining Jio’s distribution muscle with BlackRock’s global asset management clout.

Impacted Stock:

• Jio Financial Services – rallied post-announcement
• AMCs like HDFC AMC, Nippon AMC – may face longer-term competition

Forward View:
New fund launches, product positioning, and AUM targets will determine medium-term stock impact.

Coal India’s CMPDIL Files for IPO

What happened:
CMPDIL, a wholly-owned subsidiary of Coal India, has filed DRHP for its IPO. The issue involves an OFS of 71.4 million shares, with SBI Cap and IDBI Cap as managers.

Why it matters:
CMPDIL provides strategic mine planning consultancy — a niche but integral part of India’s coal supply chain.

Impacted Stocks:

• Coal India – could unlock value if listing is successful
• Peer consultancies and mining infrastructure firms may also see sentiment boost

Forward View:
The IPO will be watched for valuation, especially amid weak coal sector sentiment and global ESG pressure.

Jio Seeks Approval for 26 GHz WiFi Spectrum Use

What happened:
Jio has approached the DoT’s technical arm to use 26 GHz spectrum for WiFi services — a move that could boost broadband capacity and reduce latency.

Why it matters:
Jio is pushing to diversify its broadband and enterprise offerings, potentially accelerating fixed-line wireless deployments.

Impacted Stocks:

• Reliance Industries (Jio parent)
• Tejas Networks, HFCL – WiFi and optical equipment ecosystem

Forward View:
If approved, this could create a new high-speed broadband playbook for semi-urban and rural India.

Central Banks Still Prefer Gold Over Bitcoin

What happened:
Economist Peter Schiff reignited the debate over reserve assets, pointing to over 1,000 metric tons of gold bought annually by central banks, versus limited institutional Bitcoin adoption.

Why it matters:
The global trust in gold remains intact, especially amid rising dollar skepticism. Crypto remains volatile and less regulated — a red flag for reserve managers.

Impacted Assets:

• Gold ETFs (HDFC Gold, Nippon Gold ETF) – likely to retain steady flows
• Crypto platforms & tokens – may face trust gap vs traditional commodities

Forward View:
Gold likely remains the safe-haven asset of choice in 2025, even as Bitcoin adoption grows retail-first.

Jio Seeks Approval for 26 GHz WiFi Spectrum Use

What happened:
Jio has approached the DoT’s technical arm to use 26 GHz spectrum for WiFi services — a move that could boost broadband capacity and reduce latency.

Why it matters:
Jio is pushing to diversify its broadband and enterprise offerings, potentially accelerating fixed-line wireless deployments.

Impacted Stocks:

• Reliance Industries (Jio parent)
• Tejas Networks, HFCL – WiFi and optical equipment ecosystem

Forward View:
If approved, this could create a new high-speed broadband playbook for semi-urban and rural India.

Technical Radar: ITI Ltd – Breakout After 10-Week Consolidation

ITI Ltd has officially broken out of a multi-week consolidation range, backed by strong volume and bullish price action. With price surging past a key resistance zone at ₹285, the stock now enters a fresh technical setup with short-to-medium term upside potential.

Chart Overview

• Current Price: ₹309.25
• Breakout Volume: 11.6 million (highest in recent weeks)
• Pattern: Range breakout (₹236–₹285 zone) after 2.5 months of consolidation
• Momentum: Strong, but approaching a near-term resistance at ₹324–₹325

Key Support & Resistance Levels

Level Type	Price Range	Remarks
Support 1	₹285	Breakout level, now key support
Support 2	₹236–₹235	Base of the prior range
Resistance 1	₹324–₹325	Immediate upside target; March 2024 gap-fill zone
Resistance 2	₹370+	Medium-term swing high from Jan 2025

Technical Insights

• Volume Confirmation: High breakout volume confirms institutional activity
• Trend: Short-term bullish, sustained by higher highs and higher lows
• RSI: Likely approaching overbought, but strong breakouts can extend further

Strategy Plan

• Entry Zone: ₹295–₹300 (buy on dip)
• Stop-loss: ₹284 (just below breakout base)
• Target 1: ₹324
• Target 2: ₹370 (medium-term)

Caution: Avoid new longs near ₹324 unless it breaks out with fresh volume. Profit booking recommended as it approaches immediate resistance.

Conclusion

ITI Ltd has confirmed a bullish breakout, making it one of the more technically sound setups on the radar this week. As long as the price remains above ₹285, the structure favors the bulls. Near-term momentum can carry it toward ₹324, with extended targets at ₹370 — provided broader market sentiment stays supportive.

IPO GMP Update: Strong Interest in Small Caps, Big Boards Struggle

Investor interest remains concentrated in mid-sized IPOs like Prostarm Info Systems and Scoda Tubes, both showing strong GMPs above 15%, while heavyweight IPOs such as Aegis Vopak Terminals and Leela Hotels continue to face muted demand despite open subscriptions.

Mainboard IPO GMP

IPO Name	Price (₹)	GMP (₹)	Est. Listing Price (₹)	Est. Gain (%)	Status / Subscription
Prostarm Info Systems	105	25	130	23.81%	Open (Sub: 3.02x)
Scoda Tubes	140	22	162	15.71%	Open Today
Aegis Vopak Terminals	235	4	239	1.70%	Open (Sub: 0.34x)
Leela Hotels	435	4	439	0.92%	Open (Sub: 0.17x)
Belrise Industries	90	20	110	22.22%	Closed (Sub: 43.14x)

Market Takeaways

• Prostarm Info Systems IPO continues to lead the GMP chart with a ~24% expected gain, backed by strong demand and retail traction.
• Scoda Tubes IPO opened today with a solid 15% grey market premium, suggesting healthy interest in niche industrial plays.
• Aegis Vopak Terminals and Leela Hotels show subdued sentiment, with GMPs under 2% and low subscription on opening days — suggesting cautious institutional participation.
• Belrise Industries, already closed, is awaiting listing and remains one of the most oversubscribed and premium-valued IPOs in recent weeks.

⚠️ Disclaimer: GMP (Grey Market Premium) is an unofficial indicator and subject to change. It reflects market expectations but should not be the sole factor for investment decisions.

Small Cap Stock of the Day: Suzlon Energy Ltd

CMP: ₹65.40 | Market Cap: ₹88,530 Cr | Sector: Renewable Energy

With India pushing aggressively toward its 500 GW renewable energy target by 2030, Suzlon Energy is firmly positioned as a key domestic player. The company combines end-to-end manufacturing with turnkey wind energy execution, O&M services, and a growing international footprint.

Business Snapshot

Suzlon is a vertically integrated wind turbine generator (WTG) company, involved in:

• Manufacturing blades, towers, generators, and nacelles
• Wind project execution: site assessment, infrastructure, and grid connection
• O&M services for over 13,880 MW of installed wind capacity across 111+ wind farms
• Serves both public and private utilities across 17 countries

The firm’s focus is now increasingly domestic, with new orders driven by India’s renewable policy momentum and disinvestment in fossil fuels.

Financial Highlights

Metric	Value	Remarks
P/E Ratio	75.6	Expensive compared to industry avg.
Book Value	₹3.32	Trading at ~20x book — richly valued
ROCE / ROE	24.9% / 28.8%	Efficient capital deployment
Debt to Equity	0.06	Strong deleveraged balance sheet
Operating Margin (OPM)	16.4%	Stable margins in a competitive sector
EV/EBITDA	55.0	Suggests valuation premium
EPS Growth (3Y CAGR)	41.1%	Solid turnaround phase in recent years

Valuation View

Despite a stellar turnaround, Suzlon is trading at premium valuations:

• P/E well above the industry average (40.3x vs 75.6x)
• Price to Book at nearly 20x
• EV/EBITDA also elevated

This signals high market optimism, but also leaves little room for earnings miss or execution delays. With the intrinsic value estimated at ₹6.28, the current market price is more momentum-driven than fundamentals-backed.

Conclusion: Wind Power Giant With Valuation Gusts

Suzlon has come a long way from its debt-laden past — and is now a lean, high-growth renewable giant. But with premium valuation multiples and a large retail holding base, short-term corrections are always a risk.

Still, if India’s wind energy targets remain on track, Suzlon is structurally aligned for long-term gains. Just don’t ignore the volatility that comes with being a crowd favorite.

Conclusion: Resistance Holding, But So Are Opportunities

As Nifty faces resistance once again at 25,077, the index may be hesitating — but not the market underneath. From ITI Ltd’s breakout to Suzlon’s strong wind energy story, stock-specific opportunities continue to shine through the index noise.

While F&O expiry and election sentiment may inject volatility, the 24,500–25,000 zone will remain the battleground for bulls and bears. Traders should brace for intraday swings, while long-term investors should stay focused on structurally sound plays in renewable energy, manufacturing, and financials.

We’ll continue tracking whether Nifty faces resistance or finally breaks out — but until then, follow momentum, manage risk, and trade selectively.💡 Your Edge Starts with the Right Platform

Stay ahead of breakouts and manage trades with smarter tools — only on Angel One.

Related Articles

The Economics of Sports in India: A Deep Dive into a Billion-Dollar Game