NIFTY - Trading levels and Plan for 05-Feb-2025

🔹 NIFTY TRADING PLAN – 05-FEB-2025 🔹

📍 Previous Close: 23,707.70
📍 Key Levels to Watch:
🔸 Resistance Zone: 23,743 - 23,845
🔹 Opening Support Zone: 23,591 - 23,644
🟢 Last Intraday Support: 23,491
🟩 Buyers’ Strong Support: 23,345 - 23,388
🎯 Profit Booking Zone: 24,067 - 24,155

🔵 POSSIBLE OPENING SCENARIOS & TRADING STRATEGY 🔵

1. 📈 Gap Up Opening (100+ Points Above 23,807) – Bullish to Cautious Approach
   📌 If Nifty opens with a gap-up above 23,807+, traders should wait for initial price action.
   📌 A sustained move above 23,845 can trigger bullish momentum towards 24,067 - 24,155 (Profit Booking Zone).
   📌 If Nifty struggles near 23,845, expect sideways movement or a potential reversal to test 23,743 - 23,707.
   📌 Trade Setup:
   ✅ Buy on retracement if 23,743 acts as support after a pullback.
   🚨 Avoid aggressive buying near resistance without confirmation.
   
   ↔️↔️↔️
   
   
2. 📊 Flat Opening (Between 23,683 - 23,743) – Key Zone for Decision Making
   📌 A flat opening within 23,683 - 23,743 keeps the market in a neutral-to-bullish zone.
   📌 If Nifty holds above 23,707, we can see a push towards 23,845.
   📌 Failure to hold 23,707 might bring weakness towards 23,644 - 23,591 (Opening Support).
   📌 Trade Setup:
   ✅ If Nifty stays above 23,707 for 15-30 minutes, a breakout trade towards 23,845 is possible.
   🚨 If it breaks below 23,644, avoid longs and wait for a deeper support test.
   
   ↔️↔️↔️
   
   
3. 📉 Gap Down Opening (100+ Points Below 23,607) – Caution Required
   📌 A gap-down below 23,607 will bring pressure on support levels.
   📌 23,591 - 23,491 is a key demand zone; a strong bounce from here can offer buying opportunities.
   📌 If selling continues and Nifty breaks below 23,491, the next major support is 23,345 - 23,388.
   📌 Trade Setup:
   ✅ Look for reversal signs near 23,491 - 23,345 before entering long trades.
   🚨 If Nifty breaks and sustains below 23,345, expect further downside.
   
   

⚠️ RISK MANAGEMENT & OPTIONS TRADING TIPS ⚠️

🔹 Use strict stop-losses based on an hourly close.
🔹 Avoid chasing trades at extreme levels; wait for pullbacks.
🔹 For options trading, consider ATM/ITM contracts for better liquidity.
🔹 Time decay will impact weekly options—exit early if momentum slows.
🔹 Hedge positions if volatility spikes unexpectedly.

📌 SUMMARY & CONCLUSION 📌

✅ Bullish Bias above 23,743 targeting 23,845 - 24,067.
❌ Bearish Break below 23,591 may push towards 23,491 - 23,345.
📊 Key Zone: 23,707 - 23,743—market reaction here will decide the trend.
📌 Wait for confirmation at crucial levels before entering trades!

⚠️ DISCLAIMER ⚠️
🔹 I am not a SEBI-registered analyst. This trading plan is for educational purposes only.
🔹 Please do your own research or consult with a financial advisor before making trading decisions.