Trade Set-up for December 17: The Indian stock market benchmark indices, Sensex and Nifty 50, are likely to open flat but in the green on Wednesday, December 17 after 2 sessions of losses.
The trends on Gift Nifty indicate a muted start for the Indian benchmark index. The Gift Nifty was trading near 25,937 level, up 21.5 points or 0.08% from the Nifty futures’ previous close.
The Indian stock market witnessed sharp declines on Tuesday, December 16, extending losses for 2nd session as a record-low rupee and weak global cues weighed heavily on sentiment. The Sensex dropped 534 points, or 0.63%, to close at 84,679.86, while the Nifty 50 slipped 167 points, or 0.64%, to end at 25,860.10. The broader market also remained under pressure, with the BSE Midcap index losing 0.78% and the Smallcap index falling 0.69%.
Investor wealth eroded by more than ₹3 lakh crore in a single session, with the total market capitalisation of BSE-listed companies declining to ₹467.6 lakh crore from ₹471 lakh crore in the previous trading day.
Here’s what to expect from Sensex, Nifty 50, and Bank Nifty today:
Sensex Prediction
Shrikant Chouhan, Head of Equity Research at Kotak Securities, said the Sensex remains vulnerable to further declines despite Tuesday’s intraday rebound attempts. “Although the intraday market texture is weak, a fresh selloff is possible only after the dismissal of 84,300. Below this level, the market could retest 84,000–83,800,” he said. Chouhan added that 84,800 is the immediate resistance area for day traders, and sustained trade above this threshold could trigger a bounce towards 85,200–85,400.
Nifty OI Data
Amruta Shinde, Technical & Derivative Analyst at Choice Equity Broking said, “Volatility remained subdued, with India VIX easing by 1.83 percent to 10.06, reflecting continued market complacency and expectations of range-bound trading. Derivatives data indicates aggressive call writing at the 25,900 strike, while strong put open interest at 25,800 highlights a tightly defined trading band in the near term. A sustained close above 26,200 will be essential to revive bullish momentum, while failure to do so may prolong the ongoing consolidation in the sessions ahead.”
Nifty 50 Prediction
The Nifty extended its corrective phase on Tuesday as sentiment weakened across global and domestic markets, prompting analysts to turn cautious on the near-term outlook. Technical indicators signalled further downside risks, with multiple experts flagging key support and resistance levels traders should watch.
Om Mehra, Technical Research Analyst at SAMCO Securities, noted that the index slipping below the 9-EMA near 26,000 and falling under the middle Bollinger Band indicates a shift toward short-term weakness. A bearish candle during the session highlighted persistent intraday selling pressure, while momentum indicators showed deterioration. The RSI cooled to 47 and moved below the neutral line without any positive divergence, and the MACD drifted deeper into the negative zone with a marginally expanding histogram. Mehra said, “On the downside, 25,720 is the next support zone, and a decisive close below this level could expose 25,650–25,600 where the Supertrend is placed.” He added that resistance now lies at 26,000–26,050, and only a sustained close above this band would help restore bullish momentum. In his view, the market setup has shifted from buy-on-dips to a more range-bound and selective approach.
Ajit Mishra, SVP – Research at Religare Broking, said the broader structure remains one of consolidation but warned that pressure on the currency could widen the trading range and pull the index below its recent swing low near 25,700. Mishra said, “The 26,000–26,100 zone continues to be a crucial hurdle, and in the current environment we recommend a stock-specific and hedged trading approach due to prevailing volatility.”
Rupak De, Senior Technical Analyst at LKP Securities, observed that the bears maintained firm control, with the Nifty remaining below the 200-SMA on the hourly chart throughout the day. The breach of support at 25,870 intensified selling pressure, and he expects the index may drift toward 25,700 or lower, while the 25,950–26,000 zone is likely to act as immediate resistance.
Bank Nifty Prediction
The Bank Nifty continued to face pressure on Tuesday, opening with a gap-down and ending on a bearish note at 59,035. A red candle on the daily chart underscored ongoing weakness in the banking index.
Hrishikesh Yedve, AVP – Technical and Derivative Research at Asit C. Mehta Investment Intermediates Ltd., said the index is approaching a key support area. “Bank Nifty formed a red candle on the daily timeframe, reflecting prevailing weakness. On the downside, 58,800–58,900 will act as an immediate support zone, and a firm break below 58,800 could extend the decline toward 58,500–58,000,” he said. Yedve added that resistance stands at 60,000–60,120, and short-term traders should book profits on every bounce.
Vatsal Bhuva, Technical Analyst at LKP Securities, noted that the index closed below its 10-day and 20-day SMAs, reinforcing short-term caution. “The RSI is making lower tops, highlighting weakening momentum and lack of buying strength. The chart structure appears slightly weak, with crucial support at 58,800,” he said. Bhuva added that a close below this level could drag the index to the 50-day SMA near 58,300–58,200, while resistance remains at 59,300 and 59,500. A sustained bullish view, he said, is only justified if the index closes above 59,500.
Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.