Nifty Analysis June 16 2025: Indian stock markets may begin the week on a cautious note as geopolitical tensions intensify across the globe. The latest Nifty chart shows a likely sell setup forming around key resistance levels as investors digest developments from the Middle East.
Over the weekend, Israel conducted a fresh round of military strikes against Iran, escalating concerns of a prolonged regional conflict. This has rattled global equity markets and pushed risk-off sentiment higher across financial hubs.
Global Sentiment Turns Risk-Averse
On Friday, major global indices saw significant declines:
- Dow Jones Industrial Average closed 1.79% lower, reflecting the largest single-day fall in weeks.
- S&P 500 Index dropped 1.13%, pressured by defense concerns and tech weakness.
- FTSE 100 (UKX) fell 0.39%, with European stocks also affected by the war-driven volatility.
Oil prices spiked while gold gained slightly, both signs that investors are hedging against uncertainty.
Technical Overview – Nifty Charts
In the monthly timeframe, the Nifty 50 is forming a doji candle, signaling market indecision. With two weeks still remaining in June, the candle’s final shape may change, but the current formation reflects confusion among traders.
The weekly candle closed bearish, although not very strong. What stands out more clearly is the price action on the daily chart.
Daily Chart Highlights (as of June 14):
- Friday’s candle was green, indicating intraday buying, but this move was capped at higher levels.
- A resistance zone between 24,735 – 24,817 is visible, caused by an unfilled gap from a previous decline.
- This zone now acts as a supply area or overhead resistance.
As technical traders know, price gaps often serve as strong reversal zones when tested.
Resistance Levels to Watch
Primary Resistance Zone:
- 24,735 – 24,817
This zone could limit any upside attempt on Monday unless the market breaks through on strong volume and global cues support risk-taking.
If Nifty approaches this level at open, traders should look for shorting opportunities based on:
- Bearish candlestick patterns like M pattern, evening star, or bearish engulfing.
- Lower time-frame confirmation such as 15-minute or hourly rejection.
Trading Strategy – June 16, 2025
With global risks rising and technical resistance near, the trading setup leans bearish unless proven otherwise.
Actionable Plan:
- Wait for price to test 24,735–24,817 zone.
- Look for reversal signs before entering short trades.
- Target: 24,450
- Stop-loss: entry candle High or Swing High
Avoid entering blindly. Traders are advised to follow strict risk management and avoid over-leveraging amid market volatility.
Market Outlook – Volatility Ahead
Due to geopolitical instability, volatility is expected to remain elevated. Monday’s opening could witness gap-ups or gap-downs depending on overnight developments in oil prices, global indices, and defense news.
Caution is the key word for Monday. As institutional investors reprice global risk, retail traders should look for clean, confirmed setups.
Final Take: Nifty Analysis June 16 2025
- Nifty is approaching a critical resistance zone.
- Global tension is adding pressure on the upside.
- There is a strong probability of a reversal or correction from current levels.
📢 Trade Wisely: Look for sell signals near resistance. Manage risk. Stick to your strategy.
Daily Chart – Bank Nifty
While Nifty faces resistance at 24,735–24,817, Bank Nifty also appears weak. On the weekly chart, Bank Nifty closed with a strong bearish candle. The previous day’s candle turned green, but a gap zone exists between 55,690–56,000, which could act as a major resistance level.
Like Nifty, traders should monitor for bearish patterns at these levels and be prepared for short opportunities if price rejects this zone.
Stay tuned for daily updates and analysis on ChartExpertise.com.
Conclusion: Nifty and Bank Nifty both suggest limited upside. Traders should wait for a bearish setup near resistance zones and apply strict risk management.
📊 Live Nifty 50 Chart – TradingView | 📰 Dow Jones Index News – Investing.com