Trade Setup For Dec. 11: Nifty Key Support At 25,700; Fed Outcome To Chart Next Directional Move

The NSE Nifty 50 ended lower for the third consecutive session as traders booked profits ahead of the crucial US Federal Reserve policy outcome.

The Nifty is currently caught between key technical levels, awaiting clarity from the Fed. Rajesh Bhosale, equity technical analyst at Angel One, pointed out that the index faces resistance at around 25,950 to 26,000.

Prices continue to defend the key support of 25,700, according to Bhosale. Bajaj Broking Research echoes this view, stating that key support lies around 25,700 to 25,800, and sustaining above this band is crucial for positive momentum. A closing below 25,700 will signal an extension of the corrective decline towards the 25,500 to 25,400 levels.

Bajaj Broking expects the Nifty to trade in a 25,700 to 26,200 consolidation range, with the Fed outcome determining the next directional move.

The resistance is the Nifty's the last two sessions’ high of 25,950 to 26,000, which would signal a resumption of the primary uptrend, as per Angel One.

Bajaj Broking Research expects the index to extend its consolidation in the 58,500 to 60,100 range in the coming sessions. While the key support for the short-term is placed at 58,200 to 58,600 levels.

A breach below this will signal a pause in the short-term uptrend, according to Bajaj Broking. AngelOne placed immediate support at 58,800 to 58,500.

On the higher side, 59,500 is the immediate resistance, while the key hurdle remains at the recent all-time high of 60,100, according to Bajaj Broking Research.

The NSE Nifty 50 closed 0.32% lower at 25,758, while the BSE Sensex ended 0.32% down at 84,391.27. Broader markets witnessed sharper declines, with the Nifty Midcap100 and Smallcap100 falling by 1.1% and 0.9% respectively.

IT and financial services were the top losers, declining over 0.8% each, while the metal index gained nearly 0.5% amid rising prices.