Nifty:25860.1/-167.2/-0.64%;Candle:OGD;Long day red; Bank Nifty:59034.6/-427.2/-0.72% Candle:OGD;Long day red ; HB:OGD;Short day green;994;RIL:OGD;Doji;1541;TCS:OGD;Short day red;3207;
Market wrap up(DWM,T,N,E):The benchmark Nifty 50 failed to consistently hold the psychological 26,000 zone and closed 0.64 percent lower on December 16. The index was unable to give a strong close above the falling resistance trendline and, on Tuesday, finished below short-term moving averages, signalling the inability of bulls to defend the 26,000 level and the continuation of a lower high–lower low formation. Hence, as long as the index trades below 26,100, consolidation may continue with support at 25,750–25,750. However, a convincing move above this level could drive the index toward the 26,200–26,300 zone, experts said. The Nifty 50 formed a bearish candle on the daily timeframe, with the continuation of a lower high–lower low structure, signalling nervousness in the market. In addition, the index dropped below short-term moving averages (10- and 20-day EMAs) as well as the midline of the Bollinger Bands, and is trading near the 50 percent Fibonacci retracement (of the rally from the November 7 low to the December 1 high). The RSI declined to 47.82, while the MACD maintained a bearish crossover with weakness in the histogram. All this indicates increasing caution and short-term weakness. The Bank Nifty also reported a bearish candle on the daily charts, closing below short-term moving averages with a 0.7 percent loss, indicating weakness amid ongoing consolidation. Momentum indicators showed nervousness, with the RSI declining to 51.55 with a negative crossover, while the MACD remained below the reference line with weakness in the histogram. All this indicates continued consolidation with a bearish bias in the short term.
