Nifty Rides Double Bottom Bullish Reversal Pattern in Swing Rally

Spread love

Indian markets gained momentum with Nifty posting its strongest close in 45 sessions, breaking past 25,150 resistance, while Bank Nifty surged to 55,147; analysts see upside toward 25,700 amid firm breadth and bullish derivatives signals.

By S JHA

MUMBAI, September 17, 2025 — The Indian stock market extended its winning streak, with the Nifty 50 closing at 25,247.85, up 0.68%, marking its strongest finish in 45 sessions. The Sensex also advanced 0.4% to settle near 82,118, supported by broad-based buying and optimism over easing global trade tensions alongside expectations of a US Federal Reserve rate cut.

According to Angel One’s daily market note, the Nifty opened flat but quickly gathered momentum as buying interest emerged across sectors. The index decisively broke above the 25,150 resistance level, confirming a ‘Double Bottom’ bullish reversal pattern. Analysts now see scope for an advance toward the June swing high of 25,700, with 25,150 acting as immediate support.

The Bank Nifty also rebounded smartly after a sluggish session, climbing 0.47% to close at 55,147, its session high. Market breadth remained firm, with over 80% of Nifty stocks trading above their 10-day, 20-day, and 50-day EMAs, reflecting strong underlying momentum.

Derivatives data also reinforced bullish sentiment. Heavy put writing at the 25,200 strike and short covering at 24,950–25,150 calls pointed to an upward shift in support, while open interest at 25,200 and 25,500 calls highlighted immediate resistance levels. Futures traded at a 109-point premium, underscoring optimism.

Sectorally, auto and energy stocks led the rally, with the auto index up nearly 1% and energy extending gains on strong demand and policy support. Kotak Bank, L&T, and M&M were among the top gainers, while Shriram Finance and Asian Paints ended in the red.

StockEdge noted that nearly all major sectors closed in the green, reflecting broad participation. Traders have been advised to maintain a positive bias, treating dips as buying opportunities.

With sentiment buoyed by domestic momentum and global cues, markets appear poised for further upside—though interim resistance levels may spark profit-taking along the way.

(Disclaimer: This article makes no recommendation for any kind of trades in the stock market)