02 July 2025 | Nifty Technical & Option Greeks Analysis.

As the Nifty 50 navigates above the 25,500 mark, traders are facing a market filled with subtle divergence and rising risk-reward imbalances. Today’s analysis blends classical technical tools, Fibonacci extensions, RSI divergence, and the ever-important option greeks to dissect the possible path forward. For option writers and intraday strategists, this is the zone where decision-making meets edge.

 Technical Structure & Fibonacci Mapping

• Current Price: 25,488
• Immediate Support: 25,200 – a breakout retest zone
• Secondary Supports: 24,400 and 23,800
• Fibonacci Extensions: 1.618 at 25,153 has been broken; next logical target is the 2.0 extension at 25,955

Multiple bearish divergences on RSI (visible from April to June peaks) suggest waning strength. Watch for a breakdown of RSI below 50 – a confirmation of slowing bullish momentum.

 Option Greeks & Strategy Deployment

The July 10 expiry Iron Condor deployed around 25200 PE – 25700 CE shows the following Greek structure:

• Delta: ~–2.5 (mild bearish bias)
• Theta: +353.54 (positive time decay)
• Vega: –503.72 (IV drop will benefit position)
• Gamma: –0.02 (minimal directional whipsaw risk)

A conservative Bear Call Spread at 25900–26000 CE complements this setup well. This structure benefits from theta decay and aligns with OI resistance at 26,000.

 OI Heatmap Insight

• Maximum Call OI: 26,000 CE
• Maximum Put OI: 25,500 PE
• Put/Call Ratio: ~1.25 – Indicates cautious bearish sentiment

The 25900–26000 Bear Call Spread is well-placed against this OI wall. Iron Condor traders can stay comfortable between 25200–25700, barring any breakout shocks.

 Conclusion

In conclusion, the Nifty is technically overextended, momentum is slowing, and options data support a rangebound to slightly bearish bias. Traders positioned with risk-defined setups, such as Iron Condors and Bear Call Spreads, are tactically aligned. The RSI divergences, elevated put IV, and rising gamma approaching expiry reinforce the case for short-volatility strategies, with strict exit rules beyond 25400 or above 25900.

Stay nimble, size wisely, and let theta do the heavy lifting.