Market expert and chartist Rahul Ghose believes that the Nifty 50 is at a crucial technical juncture, with 25,300 emerging as the key make-or-break level for the index in the near term.
🔹 Nifty outlook: 25,300 is critical
Ghose says that as long as Nifty holds above the 25,300 zone, the downside may remain limited and the index could attempt a consolidation or minor rebound.
However, a decisive breakdown below 25,300 could open the door for a much deeper correction, as it would signal a loss of medium-term support.
He notes that recent market action shows selling pressure on rallies, indicating cautious sentiment among investors amid global uncertainties and FII outflows.
🔹 Stock to watch: Bharat Electronics (BEL)
Ghose has highlighted Bharat Electronics (BEL) as a stock to keep on the radar:
- The stock is showing relative strength compared to the broader market
- Technical structure remains constructive despite overall market volatility
- Any dips toward key support levels could attract buying interest
Defence stocks, including BEL, continue to benefit from long-term order visibility and rising geopolitical tensions, which are reflected positively on the charts.
🔹 Gold outlook: Extremely overbought
On commodities, Ghose cautioned that gold is extremely overbought across all time frames:
- Momentum indicators are stretched
- Risk of profit booking or short-term correction is high
- Fresh long positions should be avoided at current levels
🔹 Trading strategy
- Stay stock-specific rather than aggressive on index trades
- Watch 25,300 closely on Nifty for directional clarity
- Avoid chasing overextended assets like gold
- Prefer fundamentally strong stocks with supportive technical setups
Bottom line: The next major move in Nifty depends on whether 25,300 holds. Until then, traders should remain cautious, selective, and disciplined, with Bharat Electronics among the preferred names to track.
