Trade setup for April 23: Will NIFTY50 breakout above 24,500 today? here's all you need to know

Asian markets at 7:00 am

GIFT NIFTY: 24,391 (+0.9%)

Nikkei: 34,857 (+1.9%)

Hang Seng: 22,076 (+2.43%)

US markets

Dow Jones: 39,186 (2.6%)

Nasdaq:16,300 (2.7%)

S&P 500:5,287 (2.5%)

The US benchmark indices witnessed strong gains on Tuesday across the board as the Trump administration signalled de-escalation in the current trade-war scenario. The Treasury Secretary, Scott Besett, suggested that the current tariff situation was “unsustainable” and hinted towards potential de-escalation between the US and China. Following the comments, the NASDAQ, Dow Jones and S&P 500 gained to close more than 2.5% higher on Tuesday.

NIFTY50

Max call OI:24,500 Max put OI:24,000 (Ten strikes to the ATM, 24 April expiry)

NIFTY50 closed modestly higher on Tuesday despite concerns over US President Donald Trump’s tariff trade war and his criticism of the Federal Reserve. Index started the session in green, followed by positive cues from Asian markets. Soon, the index turned volatile as market participants took note of the Ministry of Commerce & Industry’s report that the output of eight key infrastructure sectors slowed down to 3.8% in March 2025, as against 6.3% growth registered a year ago.

However, index manage to gain some traction as traders took support of Finance Minister Nirmala Sitharaman’s statement that India is ‘actively engaging’ with the new US administration and hopes to conclude the first tranche of the bilateral trade agreement ‘positively’ by fall (September-October) this year. Sentiments remained positive throughout the day amid foreign fund inflows and Nifty closed above 24,150 mark.

Most of the sectoral indices ended in green except IT and Oil & Gas stocks. The top gainers from the F&O segment were IIFL Finance, Dixon Technologies (India) and Max Healthcare Institute. On the other hand, the top losers were Cholamandalam Investment and Finance Company, IndusInd Bank and Cyient.

On the technical side, the NIFTY50 index formed a hanging man candlestick pattern on Tuesday, indicating bulls are losing some steam after rallying more than 11% from the lows. Experts believe previous swing high of 24,500 may act as strong resistance for the medium term and index could go into some time consolidation period.

In the index option segment, maximum OI continues to be seen in the 24,500 calls and 24,000 puts, indicating this is the trading range expectation.

Stock scanner

Long build-up: ITC, M&M

Short build-up: IndusInd Bank

Top traded futures contracts: HDFC Bank, Reliance,

Top traded options contracts: HDFC Bank 1980 CE, SBIN 830 CE

Under F&O ban:, Mannapuram, RBL Bank Out of F&O ban: Birlasoft, Hindustan Copper, National Aluminium, IREDA.

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