Trade Setup For Dec. 30: Nifty Support At 25,700–25,800 Amid Lack Of Bullish Momentum

The NSE Nifty 50 sees support at 25,700–25,800 levels, according to analysts from Bajaj Broking Research.

"Immediate support is placed in the 25,700–25,800 range, which coincides with the current month’s lows, the 50-day EMA, and a key retracement level of the prior up-move," Bajaj Broking Research said.

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.

"On the upside, the 26,100–26,150 zone stands out as a key hurdle, beyond which Nifty could regain momentum to re-test its lifetime highs in the coming sessions. Traders should keep a close tab on these levels and align their trades accordingly," Krishnan said.

The analyst said that 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," Osho Krishan said.

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," Bajaj Broking Research said.

"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," it added.

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, according to the brokerage.

The index finds resistance at 59,300–59,500 levels, according to Krishnan.