Chapter 1: Opening Zone – Gap Up Start Fuels Optimism

The Nifty 50 kicked off 23 July with a mild gap up, opening at
25,139.45—a jump of 78.45 points from the previous close. The index
quickly moved higher, touching an intraday high of 25,233.50 and
dipping to a low of 25,085 before closing strong at 25,219. In total,
the market closed up by 159 points (+0.63%), marking a clear day of
bullish momentum for Indian equities. The India VIX—a measure of
market volatility—was down 2.46%, suggesting a calmer, more stable
trading environment.

Chapter 2: Early Movement – Bears’ Attempt, Bulls’ Domination

Despite the strong open, the market saw initial negative delta (down
-12.45%), indicating early selling pressure. However, the decline was
well-supported, as the Nifty did not break yesterday’s market profile
Point of Control (POC), signaling strength from previous session
buyers. Within minutes, the sentiment reversed: the index climbed
non-stop, rallying another 142 points to decisively reclaim the 25,200
level.

Key point: At no stage did the Nifty break down below yesterday’s
crucial support, confirming buyers’ dominance.

Expiry Watch: If the Nifty can sustain above 25,200, the outlook
remains bullish for expiry; otherwise, expect a possible rangebound
session.

Chapter 3: Open Interest & Option Data – Bulls Break Free

Call open interest: Highest at 25,500.

Put open interest: Highest at 25,200.

Put/Call ratio: PCR stands at 1.1, reflecting a slight bullish sentiment.

Volatility: India VIX dropped by 2.46%. While theta decay could
benefit option sellers, traders should remain cautious. A sudden rise
in volatility can trigger unexpected losses for short
straddle/strangle strategies.

The substantial decline in call open interest and simultaneous
addition on the put side signal that bears are covering positions,
further supporting the bullish turnaround.

Chapter 4: Who Won Today? Buyers Take the Lead

The rally favored:

Call buyers: Especially those who bought 25,100 strike options, which
soared from ₹60 to ₹146 intraday.

Put sellers

Long straddle traders who took positions at market open.

This movement highlights strong bullish intent, as both directional
and non-directional traders could capitalize on today’s range.

Chapter 5: Key Levels & Strategy Zone

LevelValueImportance
Major Resistance25,500OI build-up, check for breakout
Immediate Support25,200Crucial for bullish momentum
Downside Support25,000/24,900Watch for breakdown risks

Strategic Note:

If Nifty falls back and trades under 25,200 for more than 30min,
expect a rangebound session with sellers potentially enjoying theta
gains.

A sustained move above 25,200 is needed for the uptrend to continue.
Monitor global news and Gift Nifty overnight for early expiry cues.

Chapter 6: Sectoral Performance

Top Gainer: Pharma

Sectoral Loser: Consumer stocks

Almost all indices closed green, indicating broad market participation
in the upmove.

Chapter 7: Global News Impact

Crude oil prices remained largely unchanged following a landmark
US-Japan trade deal, which sparked optimism in global stock indices as
tariff reductions may fuel cross-border commerce. U.S. stock futures
jumped on the news, injecting fresh positivity into Asian markets.
Continued monitoring of these factors is advised; external news can
quickly change market dynamics.

Additional Professional Insights & Tips

Market Breadth: The advance-decline ratio favored bulls, showing
widespread buying participation.

Short-Term Outlook: Watch for a decisive move above 25,200–25,250 to
confirm bullish extension.

Options Strategy: Given low VIX, use caution with short
straddles/strangles as sharp volatility spikes could surprise the
market.

Longer View: Upside may be capped in the near term unless global cues
turn aggressively positive; rangebound action likely if key levels do
not break.

Disclaimer: I am not a SEBI-registered analyst. This blog is for
educational purposes only. The views given here are personal. Market
investments are subject to risk—consult a financial advisor before
investing. No platforms or products are promoted or endorsed, and any
P&L shown is for transparency about options strategies.