GIFT Nifty 🇮🇳: (+1, 26208)
Market Recap:
Well, Tuesday marked weekly expiry for Nifty and the benchmark came under heavy profit booking, as participants chose to book gains after the recent run-up.
The market breadth (12:38) was clearly in favour of the Bears.
The 2-Big Questions:
Will Nifty’s bullish traders have to brace for another drop?
Will the FPI come back strongly?
The Road Ahead:
1) A key RBI policy decision and US payrolls on December 5 — potentially a major volatility trigger.
2) Geopolitics enters the frame with Putin’s India visit (Dec 4–5),
3) Inflation checkpoints begin with US CPI (Dec 11) followed by India CPI and WPI (Dec 12 & 15).
4) Mid-month attention shifts to global central banks, with the Fed meeting on December 17 and the ECB decision on December 18.
The 2-Big Positive Catalysts:
1) Dual Rate-Cut Hopes both the U.S. Fed and the RBI as early as next month.
2) U.S.–India Trade Deal Optimism
Technically Speaking:
The trend remains bullish, but expect a cautious and choppy trading amidst overbought technical conditions. The make-or-break support at 25951 mark. Hurdles will be at 26326 mark.
For bullish traders, the Gyan Mantra is simple:
Nifty’s Bull-run Faces Reality Check as FIIs Sell and Rupee Sinks.
The Biggest Headwinds:
Foreign institutional investors remain on the selling side of the trade. Year-to-date (YTD), cumulative FII net selling now stands at a substantial ₹1,32,469 crore.
Other Key Dampeners:
1) Rupee at record low (₹89.9475/$): Outflows and trade uncertainty continue to weigh.
2) Banking stocks under pressure: SEBI’s index weight cap directive keeps the Nifty Private Bank Index subdued.
Bottom-line: An up-and-down session is quite likely as overbought technical conditions + no new triggers = bears back in action.
Caution is the buzzword.
STOCKS IN SPOTLIGHT:
1) Vodafone Idea climbs 2.42% on AGR relief optimism
Vodafone Idea shares rallied after Union Minister Jyotiraditya Scindia indicated that the government may finalise its AGR relief framework by end-2025.
2) The stock has seen a sharp turnaround—rising over 81% in three months from its 52-week low of ₹6.12 in August to a recent high of ₹11.08 in November.
3) SPARC hit upper circuit on favourable U.S. court ruling: Sun Pharma Advanced Research Company surged 20% to ₹161.02 after a U.S. District Court granted a favourable summary judgment related to its Sezaby Priority Review Voucher (PRV), boosting investor sentiment.
4) Reliance Industries slips on legal setback: Reliance Industries fell 1.14% after reports indicated that the Supreme Court dismissed its appeal against the Securities Appellate Tribunal’s ruling. The SAT had earlier upheld a ₹30 lakh penalty imposed for non-disclosure regarding the Jio–Facebook agreement, as reported by Bar & Bench. (Source: Business standard)
5) Bajaj Housing Finance drops after block deal
Bajaj Housing Finance dropped 7.02% to ₹97.15 after a large block deal in early trade. The shares were reportedly exchanged at around ₹95, a 9.08% discount to the previous close.
The transaction is linked to the promoter, Bajaj Finance, likely selling about 2% stake to meet minimum public shareholding norms. Bajaj Finance, which currently owns 88.70%, plans to sell up to 16.66 crore shares between 2 December 2025 and 28 February 2026.
(Source: Business Standard, Moneycontrol, Economictimes, Capitalmarket)
Now, here is the preferred trade on Nifty and Bank Nifty:
Nifty (26032): Sell between 26200-26250 zone. Stop 26601. Targets 25951/25703. Aggressive targets at 25300-25500 zone.
Bank Nifty (59274): Sell between 59600-59750 zone. Stop at 60701. Targets 58900/58300. Aggressive targets at 57157-57500 zone.
Our chart of the day is bullish on CUMMINS INDIA, TVS MOTORS and POLICY BAZAR on any early excessive intraday weakness with an interweek/Intermonth perspective.
The 1 Stock to Buy Right Now: Buy Belrise Industries at CMP 168, targeting 183/197 (CMP 165) and then aggressive targets at psychological 225 mark. Stop at 135. Holding Period: 9-12 Months. Rationale: The stock remains in a strong bullish trend structure on the daily and weekly charts. Price action continues to make higher highs and higher lows, confirming trend continuation rather than exhaustion.
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