Nifty Breakdown: A Retest of 21,300-21,000 on the Cards?

Nifty has decisively broken out of a Falling Wedge + Descending Triangle, confirming a Lower High-Lower Low (LH-LL) pattern. If this bearish momentum sustains, we could see the following levels:

Immediate downside toward 22,500

In the worst-case scenario, a retest of 21,300-21,000—the lows last seen during the election volatility of June 2024.

🚩 What’s Adding Pressure?

1️⃣ Midcap, Smallcap, and Microcap indices have also broken down from their bases, intensifying the bearish sentiment.
2️⃣ Uncertainty over Union Budget 2025: Will it contain market-friendly announcements or trigger further panic?
3️⃣ Trump’s global policies & their potential impact on India.
4️⃣ SEBI’s regulations, which could also weigh on market sentiment.

📉 What’s the Key Risk?
If the budget disappoints and external policies remain unfavourable, retailers may panic sell, potentially driving Nifty toward these crucial levels.

💡 Trading Tip:
Preserve capital during such volatile phases. As Paul Tudor Jones said, "Don’t focus on making money; focus on protecting what you have."

💭 What’s Your View?

Will Nifty reverse from 22,500 post-budget?
Or are we looking at a deeper correction toward 21,300-21,000?
📈 Let’s discuss below!