_Morningr Snippet :- 07 Feb 2025_ *Index Observation* A minor pause in momentum ahead of its weekly closing and RBI policy outcome on Friday was seen across indices. Nifty ended 0.4% lower as it retested the neckline support at 23600 before attempting a move higher. As the inverted head and shoulder breakout on daily charts is in play Nifty is positioned itself to reclaim 23800 and 24k again for the short term. Bank Nifty remained steady on track with a minor green closing as it faces hurdle in crossing the 50500 mark which has also acted as an initial target completion level for the ongoing move. Given the momentum this could extended marginally forward for 50850 ahead of the RBI MPC outcome as the index continues to find buyers after the breakout at 49500 which also acts as a fresh support for the index now. BSE Sensex has completed its target levels of 78600 which stood open since last week. The index has shown early signs of furthering higher for 79500 odd while a dip below 78000 now should be used to add in this short term short covering rally. Broadly the view for today, has remained unchanged from what was seen on charts yesterday. _RBI’s MPC meet outcome is scheduled for today while BSE Sensex weekly expiry is set for Tuesday ._ *Interesting Observation* Technical Analysis: European Financial Index Breaks Out of 15-Year Bear Market Range Overview The European financial sector has been trapped in a prolonged 15-year bear market range, marked by weak price action, structural underperformance, and resistance at key historical levels. However, a recent breakout above this range signals a potential long-term trend reversal, suggesting renewed bullish momentum. Unless this breakout turns out to be a false breakout, this structural shift in the European financial index could significantly boost confidence in the financial sector worldwide. *DERIVATIVES* *Index IV* *NIFTY:* IV : 12.56 IVP : 73.6 IVR : 46.12 *BANKNIFTY:* IV : 14.7 IVP : 72.4 IVR : 35.3 *Trade Setup* Activity in Cash Market FII Cash: -3549.95 Crs. DII Cash: 2721.66 Crs. *WTD* FII: -9709.01 Crs. DII: 6819.85 Crs. *MTD* FII: -9709.01 Crs. DII: 6819.85 Crs. *F&O CUES* FIIs stance on index futures were bearish in the previous session. They have added 6K short contracts. FIIs net position on index futures now stand at 156K short contracts. On the option front, 23600 strike will continue to act as support as this strike has significant put open interest. On the upside, 24000 strike has significant call open interest and therefore will act as resistance. *UPCOMING CORPORATE EVENTS* *Date: 08-02-2025* HINDCOPPER: Financial Results *Date: 10-02-2025* APOLLOHOSP: Dividend BATAINDIA: Financial Results EICHERMOT: Financial Results ESCORTS: Dividend *New 52 Week High Low Data* *Large Cap:* New 52 Week Highs: 1 New 52 Week Lows: 0 *Mid Cap:* New 52 Week Highs: 1 New 52 Week Lows: 3 *Small Cap:* New 52 Week Highs: 1 New 52 Week Lows: 0 *NIFTY500:* New 52 Week Highs: 3 New 52 Week Lows: 3