Market wrap up(DWM,T,N,E):The Nifty 50 gained some strength amid rangebound trading, rising by a third of a percent on December 27. However, it remained within the broader trading range of the 200-day SMA (23,862) and the 200-day EMA (23,694) on a closing basis for the fourth consecutive session. Experts anticipate that rangebound trading may continue in the upcoming sessions amid low trading volumes. Nevertheless, the declining VIX could provide support for the bulls. If the index decisively surpasses and sustains above the 200-day SMA, a rally towards 24,000–24,200 is possible. Conversely, if it falls below the 200-day EMA, the decline may extend to 23,500 (the low of December 20, The Nifty 50 formed a small bullish candle with a long upper shadow on the daily charts, indicating a lack of strength at higher levels. Overall, the sentiment is expected to remain bearish as the index is still significantly below the 10, 20, 50, and 100-day EMAs and remains within the lower band of the Bollinger Bands. The momentum indicators—RSI (Relative Strength Index at 40.7), MACD (Moving Average Convergence Divergence, below the zero line), and KST (Know Sure Thing, showing a negative crossover)—all point to continued weakness. The Bank Nifty exhibited similar behaviour to the Nifty 50, forming a small green candle with a long upper wick, indicating selling pressure at higher levels. The index failed to close above the 100-day EMA for another session, reinforcing the notion of a strong hurdle on the upside. Additionally, it remained below the 10, 20, 50, and 100-day EMAs as well as the lower band of the Bollinger Bands. Momentum indicators such as RSI (at 42), MACD (below the zero line), and KST (negative crossover) signal continued weakness in the index.
