Stock Market in Distribution Phase as Key Pivots now Under Watch
Bombay Stock Exchange Image credit X.com
Aggressive call and put writings suggest Nifty range slipping below per chartists
By S. JHA
Mumbai, February 16, 2026 — Indian markets are likely to stay in the consolidation phase after sharp corrections. Chartists believe that the market is in the midst of time correction. Distribution is also the theme in the market.
“For the upcoming weekly expiry series, significant writing was observed in 25500-25700 call strikes, hinting at resistance shifting lower towards 25600-25700 zone,” said Angel One in a market note shared with clients.
The brokerage firm stated that “25300 followed by 25000 put strikes has decent pile-up of positions, suggesting immediate support zone.” It also stressed on a technical standpoint that “the Nifty50 has slipped below its key short-term EMAs, indicating a loss of immediate momentum and has approached its 50% Fibonacci retracement level of the recent upswing, a pivotal juncture in setting up market trend.”
“The prevailing price structure suggests signs of distribution following the prior impulsive rally, reflecting consolidation rather than outright trend reversal. On the momentum front, the 14-day RSI has registered a negative crossover, pointing to weakening strength in the near term,” added Angel One.
It also stated that “although the MACD remains in positive territory, the contracting histogram signals moderation in bullish momentum.” “Collectively, these indicators suggest the market is undergoing a healthy price and time correction after an extended upward move, with broader trend dynamics remaining intact unless key support levels are decisively breached,” added the brokerage firm.
(Disclaimer: This article makes no recommendation for any kind of trades in the stock market.)
Follow The Raisina Hills on WhatsApp, Instagram, YouTube, Facebook, and LinkedIn
About The Author
