Nifty may bounce back to 25,000 mark in near term says Religare Broking

According to a recent analysis by Religare Broking, 's Nifty 50 equity benchmark index may regain some lost ground in the near future. Ravi Singh, Senior Vice President of at Religare Broking, believes the Nifty has potential to bounce back to the 25,000 mark in the short term.

Singh points out that the Nifty futures are trading at a premium of around 50 points currently. The cash-settled index has largely been range-bound between 24,500-25,000 levels over the past weeks. Foreign institutional investors have also reduced their long positions on the Nifty to just 33% according to data.

However, the analyst sees signs of support around the 24,500 level. He recommends adopting a ‘buy on dips' strategy as long as the Nifty holds above this support zone. Any pullback towards 25,000 should be utilized for shorting opportunities with tight stops.

The research professional is cautiously optimistic about equities and expects positive momentum to return on a close above 25,200. Among sectors, private banking is highlighted as having potential for outperformance. Meanwhile, real estate and FMCG counters may lag broader market returns.

In summary, while volatility is expected to continue in the near term, Religare Broking holds a view that the market could see a technical bounce towards 25,000. Supporting factors may include resilient private banking stocks and foreign flows stabilizing over the coming weeks. Downside appears capped at 24,500 as per current analysis.