Weekly Newletter 24th July 2026

NIFTY50 SHORT TERM VIEW

The current price structure in Nifty 50 is indicating a Bearish ABC pattern along with bull trap on the Point & Figure chart. Additionally, price is trading below the 10-column moving average, which keeps the broader setup Bearish. Currently, Nifty has formed a Bearish anchor column and is trading below the bullish 45-degree trendline. Any Bearish follow-through pattern from here could offer a favourable risk-to-reward opportunity. However, breaking above the bearish 45-degree trendline is important for further upside.  

On the breadth front, the X% Breadth Indicator is currently around 34%, indicating that 17 out of 50 stocks are in bullish columns. In such an environment, breakout strategies tend to perform well. If the price moves above 24,600, the downside open count will be negated, On the other hand, if the price falls below 23,100, the upside open count will be negated.   Levels to watch:  Immediate Resistance: 24,300 –24,400  Immediate Support: 23,500 –23,600  

BANKNIFTY SHORT TERM VIEW 

Bank Nifty has faced resistance at the Bearish Objective Trendline and has been under selling pressure since then. It has also formed a Bull Trap and is now trading below its important support level of 57,600 and below its 10 SMA, indicating that the short-term trend has turned bearish.  

The index needs to close above 57,600 and the Bearish Objective Trendline to regain positive momentum, with the open Vertical Count indicating a potential upside target of 59,000. On the downside, the 56,100–52,600 zone remains a key support area. A breakdown below this zone could lead to the downside Open Count targets of 55,300 and 53,900, while the 45-degree Objective Trendline near 54,900 may act as an important support. 

The X% Breadth Indicator has declined from 71% last week to 45% currently, with only 7 banking stocks remaining in X columns. The indicator has also given a bearish crossover below its moving average, suggesting that Bank Nifty may remain weak or continue to consolidate in the coming week. 

Key levels to Watch. 

Resistance - 57,500 - 57,600 

Support - 55,900 - 56,000 

Nifty 500 Market Breadth 

Overall: The broader market continues to show underlying strength, with participation remaining healthy across stocks. Continued improvement in breadth indicators would further strengthen the overall market outlook. 

Relative Strength of Broader Market Indices 

 Relative Strength of Major Asset Classes: 

This week features several important economic releases that could influence global financial markets. Investors will closely monitor Canada's inflation data, New Zealand and UK inflation and labour market reports, Australia's employment figures, and the European Central Bank's monetary policy decision. These events are expected to provide fresh insights into inflation trends, central bank policy outlooks, and the overall health of major economies, which may lead to increased volatility across equities, currencies, and interest rate-sensitive sectors. 

Definedge Momentum and Performance Chart  

DeMAP is divided into two parts: Sky and Water. Scrips above zero line are in Sky presented as stars. Scrips below zero line are in Water and presented as circle. You can view their last 10 session journey. Green Star (In the Sky) stocks are bullish and have strong momentum. Red Circle (In the Water) stocks are bearish. Blue Star (In the Sky) stocks are semi-bullish and Orange Circle (In the Water) stocks are semi-bearish.  DeMap   

Strong sectors 

Weak sectors 

Top 5

Bottom 5

Nifty 500: Top Eagle stocks

In the Tradepoint and Zone web terminals, we have developed a scanner called the Eagle scanner. It considers the price setup on multiple timeframes, relative strength, matrix scores and pattern counter scores before scoring the stock. 

Below are the top 15 stocks in the Nifty 500 index based on the Eagle score. 

The stocks below have been shortlisted based ABC breakout based on our Point & Figure scanner, keep these stocks on your radar, as a confirmed breakout could lead to fresh trading opportunities. 

Foreign investors had a mixed week. They made a strong comeback on Tuesday with buying of around ₹1,650 crore, but the buying didn't last long. FIIs turned sellers again on Wednesday and stepped up their selling sharply on Thursday, pulling out nearly ₹3,000 crore in a single session. Overall, they remained cautious throughout the week. 

Domestic institutions continued to do what they've been doing for the past few months stepping in whenever the market came under pressure. They bought over ₹1,300 crore on Monday and followed it up with another ₹2,950 crore of buying on Thursday, which absorbed most of the heavy FII selling. Although DIIs were sellers on Tuesday and Wednesday, they still ended the week as net buyers. 

Overall, FIIs were net sellers of around ₹3,300 crore, while DIIs were net buyers of about ₹3,200 crore. Once again, domestic money helped balance the foreign selling, which continues to be one of the key reasons the market has remained relatively resilient. 

Three setups for the week ahead, sized for a swing horizon of one to three weeks rather than a single session. Each carries a defined invalidation level treat the stop-loss as non-negotiable rather than a suggestion, especially heading into a week with two earnings-heavy days. 

As always, position size before conviction: these are ideas to research further, not calls to act on directly. 

The futures market was dominated by significant short buildup this week, with a large number of stocks moving into the bearish quadrant. Stocks such as Reliance, Adani Ports, Axis Bank, Mphasis, CG Power, along with Nifty and Bank Nifty futures, witnessed a combination of falling prices and rising Open Interest, indicating that traders were building fresh short positions. 

On the positive side, significant long buildup was seen in a handful of stocks, including TVS Motor, PI Industries, Bajaj Holdings, Cummins India, Colgate-Palmolive, and Bajaj Auto. This suggests that while the broader market remained under pressure, traders continued to build bullish positions in select counters. 

Lodha was the only prominent stock to witness significant long unwinding, where both price and Open Interest declined, indicating that existing long positions were being closed. 

The size of each bubble represents the stock's Volume Percentile. Larger bubbles indicate unusually high futures trading activity compared to the past one year, making those buildups more meaningful. 

Overall, the weekly futures positioning remained tilted in favour of the bears, with significant short buildup clearly outweighing significant long buildup. While selective buying was visible in a few stocks, the broader positioning suggests traders preferred to add bearish bets during the week.  

WEEKLY RESULT CALENDER

Weeks like this one  steady grind, improving breadth, no panic  are deceptively hard to trade well, because there's no obvious danger to react to. The 2003–2007 and 2020–2021 bull phases both had stretches that felt exactly this uneventful, and the investors who did best through them were the ones who stayed boring: sized positions consistently and didn't chase strength just because it was quiet. 

The psychology worth naming is complacency, not fear. It's the week after a string of green closes that stop-losses quietly get moved further away "just this once." History's version of this lesson repeats often enough that it's worth writing down before it happens again, not after. 

"The four most expensive words in the market are 'this time it's different.'" 

— attributed to Sir John Templeton