Nifty Analysis by Angel One

Nifty Technical analysisNifty Analysis by Angel One

For December 31, 2025 


Nifty write up by Osho Krishan, Chief Manager -Technical and Derivative research at Angel One

Nifty50 bid adieu 2025 on a positive note, procuring 10.51% YoY

The January series got off to a promising start, with bulls seizing control of the markets from the opening bell and setting a positive tone for the calendar year 2025. The Nifty50 index showed resilience, rebounding above the 20-DEMA and concluding the day on an optimistic note. This bounce not only snapped the recent losing streak but also helped the index reclaim the 26100 zone, indicating a potential for further growth.

The year 2025 was a rollercoaster of volatility, beginning on a challenging note with widespread concerns surrounding tariffs that stirred apprehension in various sectors. However, despite this rocky start, the underlying macroeconomic framework remained robust, coupled with a steady economic climate that fostered investor confidence. This positive environment allowed the markets to rebound, not only recovering their earlier losses but also establishing a sustained winning streak that continued year-over-year. By the end of 2025, the benchmark index demonstrated impressive resilience, achieving double-digit returns exceeding 10 percent. This performance highlighted the tenacity and adaptability of domestic participants as they navigated the complexities of the market landscape.

Technically, the broader structure remains robust with the formation of a higher highs – higher bottoms for the benchmark index, and with the recent traction, the growth potential seems evident in the near term. On the levels front, the 26000 mark, coinciding with the 20 DEMA, is anticipated to cushion any short-term blips, with sacrosanct support placed near the 50 DEMA (25850-25800), which has recently proved its mettle in restricting the corrective phase. On the higher end, the intermediate hurdle of 26200 portrays a critical zone and a sustained breakthrough could only reignite momentum in reclaiming the lifetime highs of 26325 in the forthcoming sessions.

The overall market outlook remains positive, with any declines providing advantageous opportunities for buyers. Consequently, it is advisable to implement a buy-on-dip strategy in the current market conditions. Furthermore, traders are encouraged to adopt a pragmatic approach in accordance with the specified levels.

Key levels to watch

NIFTY

Support: 26000 – 25850

Resistance: 26200 – 26300

BANKNIFTY

Support: 59200 – 58800

Resistance: 59800 – 60000

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Technical Analysis by Angel One