Daily Morning Report – 16/10/25

Daily Morning Report                     Date: 16.10.2025

NIFTY OUTLOOK: 25323.55   FII: Rs. 68.64 cr   DII: Rs. 4650.08 cr

As discussed yesterday, market behaviour remained on expected lines. Buyers managed to overcome selling pressure, pushing Nifty to an intraday high of 25365.15. The index closed near the day’s high at 25323.55, almost touching our key level of 25330.

A long bullish candle appeared on the daily chart, indicating that buyers have regained control and suggesting continuation of the positive uptrend. If Nifty decisively moves above 25371, it may rally towards 25418–25465. Further demand could extend the move towards 25512.

On the downside, Nifty is trading close to its previous swing high resistance formed on 18th September 2025. If resistance emerges, the index could retrace towards 25230–25183 on a decisive breakdown below 25276. Stronger supply may drag it further down to 25135.

BANK NIFTY OUTLOOK
Spot: 56799.90   PCR: 1.06   Max CE OI: 57000   Max PE OI: 57000

On 14th October 2025, Bank Nifty closed at 56799.90, up 303.45 points (+0.54%). The index moved 430.85 points during the session, recording a high of 56922.70 and a low of 56491.85.

Technical View:

Important support and resistance levels are placed at 56325 and 57177 respectively.

Intraday support and resistance stand at 56681 and 56981 respectively.

Intraday Technical Strategy:

Go long above 56981 with SL 56879 and target 57037.

Go short below 56681 with SL 56721 and target 56563.

RSI: The Relative Strength Index (RSI) for Bank Nifty stands at 67.5 — indicating a near overbought zone as readings above 70 are considered overbought and below 30 oversold.

Bank nifty Day SMA Analysis:

Bank nifty is trading above 8 out of 8 SMA’s (5, 10, 20, 30, 50, 100, 150, 200 Day).

Bank nifty is trading below 0 out of 8 SMA’s.

One candlestick Pattern was identified in bank nifty.

• Belt Hold Uptrend

Macros:

1. Dollar index is @ 98.265
2. S&P 500 is @ 20.64
3. Brent crude is @ 62.33
4. US 10 years bond yield is @ 4.022

Note:

US–China tensions resurfaced after President Trump announced 100% tariffs on Chinese goods. However, both sides remain in touch to arrange a meeting between the two leaders later this month to ease the situation. U.S. Treasury Secretary Scott Besant stated that Washington does not intend to escalate the conflict, while Federal Reserve Governor Stephen Miran reiterated that renewed trade tensions pose a “material” downside risk to the global outlook — increasing the likelihood of a Fed rate cut. Amid these expectations, bullion continued its southward move.

On the domestic front, India’s monetary policy committee held the repo rate steady at 5.50% after cumulative cuts of 100 bps in 2025, maintaining a neutral stance, though two members favoured a shift to accommodative. Headline inflation fell to an eight-year low of 1.54% in September, led by a sharp fall in food prices. Consequently, the RBI revised its inflation forecast for FY26 to 2.6%, down from 3.1% in August and 3.7% in June, indicating further room for potential rate easing.

Contributed by
Ashok bhandari : INH000019549
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