Trade Setup For Dec. 29: Nifty Finds Support At 25,700–25,800 Levels
The NSE Nifty 50 index finds key support at 25,700–25,800 levels after the stock market ended below the 26,100 mark last week, according to Bajaj Broking Research.
The index formed a bearish candlestick pattern with a lower high and a lower low, signalling profit booking after recent up move. Index on expected lines is seen consolidated in a range amid stock-specific action, said analysts from Bajaj Broking.
Nifty Support and Resistance Levels
The analysts stated that a breakout above 26,300 will open further upside towards 26,500 levels in the coming weeks. Key support is placed around 25,700–25,800 levels being the confluence of the current month lows, 50 days extended moving average and key retracement of the previous up move, according to Bajaj Broking Research.
Nandish Shah, deputy vice president at HDFC Securities, identified the Nifty’s resistance at 26,145. Immediate resistance is seen around 26,145, followed by 26,250. On the downside, a close below 26,000 may trigger further weakness towards 25,880 and 25,770, Shah said.
Bank Nifty Support and Resistance Levels
The Bank Nifty finds key support placed at 58,300-58,600 levels, being the confluence of the 50 days EMA and recent breakout area. We expect the index to extend consolidation and form a base in the range of 58,500-60,100 in the coming weeks, said Bajaj Broking Research.
Rajesh Bhosale, equity technical analyst at Angel One, finds resistance for the index at 59,500-59,800 and support at 58,800-58,500.
A strength above last two week’s high of 59,500 will open upside towards the recent all-time high of 60,100 levels in the coming weeks, said Bajaj Broking Research.
Market Outlook
The entire up move of the last 2 months is well channelled signalling sustained demand at elevated levels, said Bajaj Broking Research.
The Nifty closed below the 26,100 mark, extending losses for the second straight session. The benchmark indices underperformed the broader markets, with pressure persisting across several heavyweight stocks.
Spot silver rose for the fifth consecutive trading session, crossing $75 per ounce for the first time.
The rise can be attributed to a combination of factors, including strong industrial and investment demand, tightening inventories, escalating geopolitical tensions, and the anticipation of additional interest rate cuts by the U.S. Federal Reserve, all of which are contributing the upward trend.
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