What to expect from Indian stock market in trade on December 10 ahead of US Fed meet outcome

By Admin

10 Dec, 2025

The Indian stock market is set for a cautious start on Wednesday, December 10, as investors await the outcome of the US Federal Reserve’s policy meeting. With global cues turning mixed and domestic indices showing signs of fatigue, traders should brace for a potentially volatile session.

Muted Opening Expected

Early indications from the Gift Nifty point toward a negative start for the benchmark indices. Gift Nifty was trading around the 25,902 mark, reflecting a discount of nearly 58 points compared to the previous close of Nifty futures. This signals that sentiment remains subdued ahead of the crucial Fed announcement.

On Tuesday, markets closed lower as investors turned risk-averse. The Sensex slipped 436.41 points (0.51%) to end at 84,666.28, while the Nifty 50 dropped 120.90 points (0.47%) to settle at 25,839.65.

Here’s a detailed look at what to expect from Sensex, Nifty 50, and Bank Nifty in today’s trade:

Sensex Prediction

The Sensex continues to exhibit a lower high formation on both daily and intraday charts, indicating persistent weakness.

Market expert Shrikant Chouhan, Head of Equity Research at Kotak Securities, notes that while the broader texture remains weak, the market is also oversold. This raises the possibility of a short-term pullback rally.

• Key support: 84,400
  
  

• Immediate resistance: 85,000 and 85,200
  
  

Chouhan adds that if the index trades above 84,400, a pullback may continue. However, a break below this level could trigger renewed selling pressure and push the index toward 84,000.

Nifty OI Data: Derivatives Indicate Caution

The derivatives setup reflects a cautious tone among traders. According to Dhupesh Dhameja, Derivatives Research Analyst at SAMCO Securities:

• Aggressive call writing at ATM and nearby strikes suggests strong overhead supply.
  
  

• Put writers have unwound positions and shifted to lower strikes, anticipating consolidation.
  
  

• 26,000 strike: Massive call open interest of 78.82 lakh contracts → strong resistance.
  
  

• 25,500 strike: Heavy put OI of 51.03 lakh contracts → strong support.
  
  

• PCR has risen to 0.67 from 0.47 → increased defensive positioning.
  
  

Nifty 50 Prediction

The Nifty 50 formed a Doji-like candle on Tuesday, signaling indecision.

Nagaraj Shetti, Senior Technical Research Analyst at HDFC Securities, states that such a formation especially near key support levels may act as a short-term bottom reversal pattern.

• Immediate support: 25,700
  
  

• Upside potential (if bounce sustains): 26,100 – 26,200
  
  

Nilesh Jain of Centrum Broking highlights that Nifty has broken down from a rising wedge pattern, with major resistance at 26,000, aligning with the 21-DMA. The next important support sits near the 50-DMA at 25,670.

Meanwhile, Hrishikesh Yedve of Asit C. Mehta notes that closing below 25,890 in line with the weekly Hanging Man pattern indicates further weakness.

• Downside support zone: 25,500 – 25,300
  
  

• Upside resistance: 26,200 and 26,325
  
  

• Strategy: Any bounce toward 26,325 may be ideal for profit booking.
  
  

Bank Nifty Prediction

The Bank Nifty closed marginally lower by 16.20 points at 59,222.35 on Tuesday. Despite early weakness, it formed a bullish candle with a minor upper shadow indicating selective buying interest.

Ponmudi R, CEO of Enrich Money, notes:

• The index shows a sell-on-rise bias, with traders booking profits after the recent record highs.
  
  

• Despite short-term pressure, Bank Nifty remains above key medium-term averages.
  
  

• Support: 58,800 – 58,700
  
  

• If broken: Deeper correction toward 58,300 – 58,000
  
  

• Upside trigger: Sustained move above 59,500 – 59,700 → target 60,000 – 60,100
  
  

Sudeep Shah of SBI Securities adds similar levels:

• Crucial support: 58,900 – 58,800
  
  

• Major hurdle: 59,600 – 59,700
  
  

Conclusion

As the markets await clarity from the US Federal Reserve, volatility is likely to remain high. With technical indicators showing mixed signals and global cues adding uncertainty, traders should proceed cautiously, focusing on key support and resistance levels.

Disclaimer: The views and recommendations mentioned above belong to individual analysts and broking firms. Investors should consult certified experts before making investment decisions.