Market Closing View for 15th Dec by Ponmudi R, CEO, Enrich Money

Indian equity markets ended today’s session on a muted and consolidative note, recovering from early weakness but lacking strong follow-through buying. Persistent FII selling, rupee depreciation, and India–US trade-related uncertainty kept risk appetite cautious, though domestic flows and bargain hunting helped absorb downside pressure.

Nifty 50

Nifty began the session on a negative footing and retested the key intraday support zone near 25,900, where selling pressure from index heavyweights was effectively absorbed despite elevated Put Open Interest. The index rebounded from the day’s lows but remained confined to a narrow consolidation range due to the absence of sustained buying momentum.

Repeated recoveries faced rejection in the 26,050–26,100 zone. A decisive breakout and close above this range would be required to revive momentum and open the path toward the 26,300–26,350 resistance band. The index settled within its consolidation zone, reflecting a balance between buyers and sellers. Technically, the structure remains constructive as long as 25,900 holds, with the next directional bias likely to emerge only after a clear range resolution.

Bank Nifty

Bank Nifty witnessed a calm recovery from lower levels, consistently finding support near the 59,000 zone. The index closed above 59,460, but the 59,400–59,530 resistance band capped the upside throughout the session. For bullish momentum to revive meaningfully, a decisive breakout and close above 59,600 is essential, which could then open the upside toward 59,650–59,700.

Market Breadth & Sectoral Trends

Markets opened on a weak note amid continued FII outflows, rupee pressure near record lows, and global uncertainty. However, intraday declines were absorbed well, leading to a measured recovery from the lows. The tone remained cautious, but buy-on-dips activity was clearly visible, with domestic institutional flows continuing to offset part of the foreign selling.

Sectorally, relative strength persisted in FMCG, consumption, aviation, and select financials, reflecting preference for domestic-facing and stable earnings themes. Autos, select pharma, and oil & gas stocks remained under pressure, indicating selective risk aversion rather than broad-based selling. Banking and large-cap financials continue to be the key leadership space to watch for any decisive directional move.

Macro & Global Cues

Global cues remained soft, and caution ahead of key central bank developments kept sentiment restrained through the session. Market participants are closely tracking WPI inflation data and upcoming mid-December macro indicators to gauge the RBI’s pro-growth stance and the trajectory of potential rate cuts. Despite near-term volatility, strong bank credit growth and record FX reserves continue to provide a solid structural cushion for the Indian financial system.

Closing View

Today’s recovery was partial but meaningful, preventing a sharp downside close and reinforcing the market’s underlying resilience. The broader market remains in a consolidation phase, with domestic fundamentals and steady DII participation limiting downside risks even as external headwinds persist. Large-caps and consumption-oriented stocks continue to offer relative stability, while the next directional cue will depend on a decisive Nifty breakout beyond 26,100 and Bank Nifty above 59,600.
Ponmudi R, CEO, Enrich Money- https://enrichmoney.in

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