Nifty risks a fall to 24,000 if 24,300 support breaks: Analysts

The Nifty index is poised for volatility in the coming week, closing near the crucial support level of 24,400. Analysts warn that if this level is breached, the index could fall to 24,300 and then potentially to 24,000. Over the past four weeks, the Nifty has experienced a significant drop of over 2,000 points, moving from 26,341 to 24,305, indicating a bearish trend with lower highs and lower lows on the weekly charts. For sentiment to stabilize, the index must reclaim the 24,700-24,800 range. Traders are advised to adopt a 'sell on rise' strategy within the 24,700-24,800 band, with a stop loss at 25,000. Notably, sectors like Defence have shown strength, with recommendations to invest in Bharat Electronics and Oil India due to recent price movements and market trends. The broader outlook suggests that failure to hold above critical support levels may lead to further declines, while resistance remains strong around 24,800-25,200. Investors should remain cautious and consider strategic trading approaches as geopolitical tensions continue to influence market dynamics.