Trade Setup for September 25: Top 15 things to know before the opening bell

Reports coming in for today mention that The Nifty 50 came under severe selling pressure on September 24, falling 1.64 percent — its biggest single-day slide since July 8 — amid strengthening bearish momentum. All key moving averages continued to slope downward, keeping the broader structure negative, while rising US 10-year bond yields, which advanced to 5.166 percent, and a rebound in crude prices above $105 a barrel weighed on sentiment. Following Thursday's sharp slide, the Nifty 50 may attempt a rebound, but sustainability will be the key factor to watch. The hurdle on the elevated side is placed in the 23,200-23,300 zone, while a decisive break below 23,000 could gain the possibility of panic selling towards 22,700, as per specialists.

Here are 15 data points we have collated to help you spot profitable trades:

1) Key Marks For The Nifty 50 (23,063)

Resistance based on pivot points: 23,220, 23,276, and 23,366

Backing based on pivot points: 23,040, 22,985, and 22,895

Special Formation: The Nifty 50 formed a long red candle on the daily timeframe after a gap-down opening, indicating heightened selling pressure. The index remained below all key moving averages — the 10-, 20-, 50-, 100- and 200-day EMAs — all of which continued to trend softer. The RSI declined to 31.22 from 40.25, signalling strengthening bearish momentum, while the MACD remained below the signal line, with a dark red bar appearing on the histogram after a contraction over the previous six sessions. All these indicators point to a weakening technical structure and suggest that selling pressure could persist in the near term.

2) Key Marks For The Bank Nifty (55,438)

Resistance based on pivot points: 55,787, 55,923, and 56,143

Backing based on pivot points: 55,346, 55,209, and 54,989

Resistance based on Fibonacci retracement: 55,897, 57,285

Backing based on Fibonacci retracement: 55,050, 54,055

Special Formation: The Bank Nifty plunged 1.96 percent after a gap-down opening and formed a long bearish candle on the daily charts, indicating strengthening bearish trend. The index remained below all key moving averages, with its short- and medium-term moving averages trending softer. The index additionally eased below the 50 percent Fibonacci retracement level of the surge from the May low to the June high. The RSI eased below the 40 level and declined below its signal line, while the MACD remained below the reference line, with a dark red bar appearing on the histogram after consistent contraction over the previous six consecutive sessions. All these indicators point to a weakening technical structure and suggest that selling pressure could persist in the near term. 3) Nifty Call Options Data

According to the monthly options data, the 23,500 strike holds maximum Call open interest (with 1.35 crore contracts). This level can act as a key resistance level for the Nifty in the short term. It was followed by the 23,200 strike (1.19 crore contracts) and 23,300 strike (1.16 crore contracts).

Maximum Call writing was observed at the 23,200 strike, which saw an addition of 1.04 crore contracts, followed by the 23,250 and 23,300 strikes, which further noted 88.88 lakh and 74.95 lakh contracts, respectively. There was hardly any Call unwinding noted in the 22,650-23,600 strike band. 4) Nifty Put Options Data

On the Put side, the maximum Put open interest was noted at the 23,000 strike (with 1.17 crore contracts), which can act as a key backing level for the Nifty in the short term. It was followed by the 23,100 strike (75.86 lakh contracts) and the 22,800 strike (71.55 lakh contracts).

The maximum Put writing was placed at the 23,100 strike, which saw an addition of 36.52 lakh contracts, followed by the 23,050 and 22,900 strikes, which further noted 10.44 lakh and 8.32 lakh contracts, respectively. The maximum Put unwinding was noted at the 23,400 strike, which shed 75.66 lakh contracts, followed by the 23,300 and 23,350 strikes, which shed 36.61 lakh and 28.64 lakh contracts, respectively.

5) Bank Nifty Call Options Data

According to the monthly options data, the 57,000 strike holds the maximum Call open interest, with 15.32 lakh contracts. This can act as a key resistance level for the index in the short term. It was followed by the 56,500 strike (11.72 lakh contracts) and the 56,000 strike (9.84 lakh contracts).

Maximum Call writing was observed at the 56,000 strike (with the addition of 6.37 lakh contracts), followed by the 55,500 strike (3.47 lakh contracts) and 55,700 strike (2.9 lakh contracts). There was hardly any Call unwinding noted in the 54,250-57,000 strike band.

6) Bank Nifty Put Options Data

On the Put side, the maximum Put open interest was noted at the 55,000 strike (with 8.14 lakh contracts), which can act as a key backing level for the index in the short term. This was followed by the 56,000 strike (6.75 lakh contracts) and the 55,500 strike (6.31 lakh contracts).

The maximum Put writing was placed at the 54,400 strike (which further noted 93,000 contracts), followed by the 55,400 strike (74,910 contracts) and 55,600 strike (70,860 contracts). The maximum Put unwinding was noted at the 56,000 strike, which shed 3.59 lakh contracts, followed by the 56,500 and 56,600 strikes which shed 3.54 lakh and 2.49 lakh contracts, respectively. 7) Funds Flow (Rs crore) 8) Put-Call Ratio

The Nifty Put-Call ratio (PCR), which indicates the mood of the market, declined to 0.81 on September 24, compared to 1.03 in previous session.

The increasing PCR, or being elevated than 0.7 or surpassing 1, means traders are selling more Put options than Call options, which generally indicates the firming up of a bullish sentiment in the market. If the ratio falls below 0.7 or moves towards 0.5, then it indicates selling in Calls is elevated than selling in Puts, reflecting a bearish mood in the market. 9) India VIX

The India VIX, the fear gauge, surged 22.64 percent — its biggest single-day gain since July 8 — to 12.68 and moved well above its short- and medium-term moving averages in a single session, signalling caution for the bulls. A sustained move above the 14 level could further gain risk for the bulls. 10) Long Build-up (9 Stocks)

A long build-up was noted in 9 stocks. An gain in open interest (OI) and price indicates a build-up of long positions.

11) Long Unwinding (100 Stocks)

100 stocks saw a slide in open interest (OI) along with a decline in price, indicating long unwinding.

12) Short Build-up (91 Stocks)

91 stocks saw an gain in OI along with a decline in price, indicating a build-up of short positions.

13) Short-Covering (15 Stocks)

15 stocks saw short-covering, meaning a decrease in OI, along with a price gain.

14) High Delivery Trades

Here are the stocks that saw a high share of delivery trades. A high share of delivery reflects investing (as opposed to trading) interest in a stock.

15) Stocks Under F&O Ban

Securities banned under the F&O segment include firms where derivative contracts cross 95 percent of the market-wide position limit.

Stocks further noted to F&O ban: Nil

Stocks retained in F&O ban: Kaynes Technology India, LIC Housing Finance, Manappuram Finance, SAIL

Stocks removed from F&O ban: Nil