#SituationalAwareness and Data Analysis for Monday, 1 June, 2026
✍🏻 Rebalancing Was a Trigger, Not the Reason 🔴
If you think Friday’s fall in Nifty happened only because of rebalancing and the market will immediately turn around, be a little careful here.
The reason I highlighted negative data for Friday was not because I knew rebalancing would happen in the last 30 minutes.
In fact, at the time of my analysis, I had no idea about that event.
I called the market negative because the data itself was negative.
And even if rebalancing had not happened, the market was still due for a correction.
The important thing is this:
Even after removing the rebalancing effect from the equation, the data remains negative.
That is why I am not interested in longs right now.
For any bullish attempt to become valid, the market must first print a green candle and close above 23980.
Even if that happens, I would initially treat it as a potential bull trap until follow-through confirms otherwise.
For now, this is not the time to build fresh long positions.
The focus should shift towards building Sell-on-Bounce setups.
Now coming to levels:
Resistance: 23682 / 23763
Support: 23090 (if 23518 breaks)
One more thing.
Equities can still perform well in this environment.
But only those stocks that are both technically strong and backed by a strong theme.
So long positions should only be considered if you are confident in identifying genuine relative strength and strong chart structures.
Otherwise, staying away next week may be the smarter decision.
📊 Levels at a glance:
Resistance 1: 23682
Resistance 2: 23763
Bullish confirmation: Close above 23980
Support trigger: Below 23518
Next support: 23090
Bias: Sell-on-Bounce
Equity view: Only strong themes and strong charts
Approach: Defensive and selective longs short
That’s all I can conclude from the current data.
Take care. Have a profitable tomorrow.
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#nifty #data_analysis #rebalancing