Nifty 50, Sensex today: What to expect from Indian stock market in trade on December 27

The Indian stock market benchmark indices, Sensex and Nifty 50, are likely to open flat on Friday tracking mixed global market cues.

The trends on Gift Nifty also indicate a flat start for the Indian benchmark index. The Gift Nifty was trading around 23,924 level, a premium of nearly 5 points from the Nifty futures’ previous close.

On Thursday, the domestic equity market ended the lacklustre session on a flat note.

The Sensex closed flat at 78,472.48, while the Nifty 50 settled 22.55 points, or 0.1%, higher at 23,750.20.

Nifty 50 formed a small red candle on the daily chart with minor upper and lower shadow.

“Technically, this formation indicates a doji or high wave type candle formation. Having formed this pattern amidst a sideways range movement, the predictive value of this pattern could be less. Formation of small candles side by side signal broader range bound action in the market. The crucial 200-day EMA (Exponential Moving Average) is offering support for the market so far now, but the Nifty has been struggling to take off from the support,” said Nagaraj Shetti, Senior Technical Research Analyst at HDFC Securities.

According to him, the short-term trend of Nifty 50 remains range bound and a sustainable move only above 23,900 is likely to open a sizable upside bounce in the market.

“However, any decline below the support of 23,600 – 23,500 levels is expected to bring more weakness in the near term,” said Shetti.

Here’s what to expect from Nifty 50 and Bank Nifty today:

Nifty OI Data

On option front, Maximum Call OI (Open Interest) is at 24,000 then 25,000 strike while Maximum Put OI is at 23,800 then 23,000 strike. Call writing is seen at 23,800 then 24,000 strike while Put writing is seen at 23,800 then 23,000 strike.

Option data suggests a broader trading range in between 23,200 to 24,200 zones while an immediate range between 23,500 to 23,900 levels, said Chandan Taparia, Head, Equity Derivatives & Technicals, Wealth Management, MOFSL.

Nifty 50 Prediction

Nifty 50 continued the choppy movement for the third consecutive session on December 26 and closed the day higher by 22 points.

“Nifty 50 traded sideways as investors stayed on the sidelines. The index remained below the 200 DMA, reinforcing the prevailing weakness. The RSI indicator showed bearish momentum with a weak crossover, indicating sluggish movement. In the short term, the index may stay under pressure or struggle to rise to higher levels. Support is at 23,700/ 23,600, while resistance is seen at 23,850,” said Rupak De, Senior Technical Analyst, LKP Securities.

Om Mehra, Technical Analyst, SAMCO Securities noted that the Nifty 50 index remained range-bound, forming a small daily candle and exhibiting an NR3 (Narrow Range Candle) pattern, which often signals the potential for a sharp move in either direction.

“Currently, Nifty remains below its 200 DMA, with the daily RSI staying below the 40 level, indicating subdued momentum. On the downside, support levels are placed at 23,650, followed by 23,500. A breakout above 23,900, which aligns with the 23.6% Fibonacci retracement level, could position the index for an upward move toward 24,200 in the near term,” said Mehra.

Bank Nifty Prediction

Bank Nifty ended Thursday’s session at 51,170.70, down 62.30 points, or 0.12%, forming a spinning bottom candlestick pattern.

“Bank Nifty index remains range-bound, struggling to close above the 23.6% Fibonacci retracement level at 51,400, with the next resistance seen at 51,800, aligning with the 38.2% retracement level. On the hourly chart, Nifty Bank exhibited a neutral trend, reflecting market indecision. However, the daily RSI points to the possibility of a rebound from lower levels, indicating a slight improvement in sentiment. Support is placed at 50,700, providing a strong base for consolidating the index,” Mehra said.

According to him, the overall outlook suggests a slightly positive bias, even though the trend remains modest. A decisive breakout above the 51,400 resistance level could mark the beginning of a gradual recovery and pave the way for an upward move.

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.