Nifty Support At 25,700–25,800: Trade Setup For Dec. 30
The NSE Nifty 50 sees support at 25,700–25,800 levels, according to analysts from Bajaj Broking Research. This support band is crucial as it coincides with the current month’s lows, the 50-day EMA, and a key retracement level of the prior up-move.
According to the brokerage, holding above this support band would keep the near-term outlook neutral to mildly positive. The index sees resistance at 26,100–26,150 levels after the market ended in the red, according to Osho Krishan, chief manager of technical and derivative research at Angel One.
Market Breadth Indicates Lack Of Bullish Momentum
The market breadth indicates a lack of bullish momentum, with sellers dominating the landscape. As we progress, it would be beneficial to maintain light positions on both sides of the market until a decisive momentum is restored. Additionally, focusing on select thematic players could provide an opportunity to generate higher alpha in the current market landscape.
Bank Nifty Index Finds Support At 58,800–58,500 Levels
The Bank Nifty index finds support at 58,800–58,500 levels, according to Krishnan. The index formed a bearish candlestick with a lower high and a lower low, reflecting continued profit booking for the fourth consecutive session.
Going ahead, the index is expected to remain in a consolidation phase and build a base within the 58,500–60,100 range over the coming weeks. A decisive move above the last two weeks’ high of 59,500 could pave the way for a fresh upside toward the recent all-time high near 60,100 in the weeks ahead.
NSE Nifty Ends Lower, Top Gainers And Losers
The NSE Nifty ended 100.2 points or 0.38% lower at 25,942.1, while the BSE Sensex closed 345.91 points or 0.41% down at 84,695.54. Tata Steel Ltd., Asian Paints Ltd., Tata Consumer Products Ltd., Grasim Industries Ltd. and Axis Bank Ltd. emerged as the top gainers for the day.
Reliance Industries Ltd., Bharti Airtel Ltd., ICICI Bank Ltd., HCL Technologies Ltd. and Mahindra & Mahindra Ltd. were the worst performers of the Nifty 50 index.
What To Expect From The Markets
As the markets head into the new year, investors will be closely watching the earnings season for cues. The Nifty 50 index is expected to remain volatile, with the 25,700–25,800 support band being crucial for the near-term outlook.
Investors should maintain light positions on both sides of the market until a decisive momentum is restored. Focusing on select thematic players could provide an opportunity to generate higher alpha in the current market landscape.
Conclusion
In conclusion, the NSE Nifty 50 sees support at 25,700–25,800 levels, which coincides with the current month’s lows, the 50-day EMA, and a key retracement level of the prior up-move. The market breadth indicates a lack of bullish momentum, with sellers dominating the landscape. Investors should maintain light positions on both sides of the market until a decisive momentum is restored.