Trade setup for Aug 17: Can NIFTY50 bounce back above 24,400 on Monday?

The GIFY NIFTY futures traded 35 points lower on Monday morning, suggesting a weak, muted start for NIFTY50. Elevated crude oil prices and the deadlocked negotiations between the US and Iran to reopen the Strait of Hormuz will continue to dominate sentiment for the Indian markets.

Meanwhile, markets in Asia opened mixed on Monday morning, with Korean KOSPI and Hong Kong’s Hang Seng rising 1.4% and 2.2%, respectively. Conversely, the Japanese Nikkei traded in the red with minor losses as the Japanese economy grew 0.3% in Q2 2026, slightly below estimates.

The US stock market futures opened on a flat-to-positive note on Monday morning, after ending mixed in the previous week. A softer-than-expected inflation print abated fears of a rate hike in the upcoming policy meeting in September, boosting investor sentiment.

Crude oil prices will remain in focus as the one-month interim ceasefire between the US and Iran ends today. Brent crude oil futures hovered near the $88 per barrel mark on Monday morning after rising 2% on Friday.

NIFTY50 chart check

The NIFTY50 closed the previous week below the pivotal 24,400 support level on Friday, suggesting a lack of momentum above the 24,400 level. In addition, the index also failed to defend the 200 EMA levels on Friday, suggesting a lack of momentum at higher levels.

Meanwhile, on the hourly charts, the index traded in a small range of 24,265 to 24,450; a breakout from the swing low and swing high trendline would give a decisive direction to the index.

NIFTY50 open interest

The open interest data for coming weekly expiry on August 18 suggests a broader range of 24,000 to 24,500. The 24,000 puts hold the highest open interest, suggesting strong support fo the NIFTY50. On the upside, 24,500 calls hold the highest open interest, indicating strong resistance.