Aakash Shah, Research Analyst, Choice Broking
Indian equity markets are expected to open flat on Monday, tracking mixed global cues and subdued year-end participation. With the holiday season and calendar-year close, trading volumes are likely to remain thin, keeping volatility in check. Asian markets are trading steady, while U.S. futures show mild weakness, indicating a neutral to slightly negative start for domestic indices. Stable crude prices and a relatively steady rupee continue to offer underlying support, preventing sharp downside.
The Nifty 50 remains technically constructive despite recent consolidation. The index continues to trade above its short-term moving averages, indicating that the broader trend remains positive. Immediate support is placed at 25,850–25,900, and a breach below this zone could drag the index toward 25,800. On the upside, 26,150–26,200 remains a crucial resistance band. A sustained breakout above this level could revive momentum and open the door for a move toward 26,300–26,500, while failure may keep the index range-bound.
The Bank Nifty is consolidating after its recent rally and is respecting key support levels. Immediate support is seen at 58,700–58,800, while resistance is placed at 59,300–59,400. A decisive close above resistance could push the index toward 59,800–60,000, whereas a breakdown may extend consolidation.
India VIX continues to hover near multi-month lows, signaling limited intra-day swings. Overall, the environment favors range-bound trading and buy-on-dips strategies, with strict stop-losses advised due to low volumes and potential year-end volatility spikes.