The Nifty 50 index surged over 0.55% on December 11, rebounding strongly after a three-day corrective phase. The recovery was fueled by the US Federal Reserve’s third consecutive rate cut, which lifted global market sentiment and renewed buying interest at lower levels.
However, the index was unable to surpass the previous day’s high of 25,950, a level overlapping with the 10-day and 20-day EMAs—both acting as key short-term resistance zones. These hurdles must be cleared for the Nifty to regain strong bullish momentum toward its record levels.
Nifty 50: Critical Resistance Levels
- The index must decisively break and sustain above 25,950.
- A move past 26,000, which aligns with the midline of the Bollinger Bands, may open the door for an upside rally toward the 26,200–26,300 zone.
Support Levels to Watch
- Immediate support is placed at 25,700.
- If the index falls below this level, the next significant support lies near 25,500.
Market Performance on December 11
Nifty 50 tested the 25,700 support during early trade but gained momentum after an initial hour of consolidation. It climbed steadily through the session, hitting an intraday high of 25,923 and closing at 25,899, up 141 points.
On the daily chart, the index formed a bullish candle with a lower shadow, indicating buying strength at lower levels and signaling a positive short-term bias.
Technical Outlook
Analysts noted positive divergence on intraday charts and a potential short-term upside reversal on the daily chart. These signals suggest that momentum may continue to favor the bulls if Nifty manages to break above its immediate resistance levels.
