The Nifty ended 190 points higher, while the Sensex was up by 545 points
Shrikant Chouhan,
Head - Equity Research
Kotak Securities
Mumbai, 30 December 2025: Today, the benchmark indices bounced back sharply. The Nifty ended 190 points higher, while the Sensex was up by 545 points. Among sectors, the Oil and Gas index outperformed today, rallying 2.60 percent, whereas despite strong momentum, the Digital index closed in the negative territory, shedding 0.40 percent. Technically, on the daily charts, the index has formed a promising reversal pattern, and a long bullish candle supports the potential for a further uptrend from the current levels.
We are of the view that 26,000/85000 and 25,950/84800 would act as immediate support zones for traders. As long as the market trades above these levels, the bullish sentiment is likely to continue, with the market potentially reaching 26,250/85800. Further upside could also push the market up to 25,350/86100. On the flip side, below 25,950/84800, the uptrend would become vulnerable. Below this level, traders may consider exiting their long positions.
Gaurav Garg, Research Analyst Lemonn Markets Desk, adds:
Indian equity benchmarks rebounded sharply on Wednesday, snapping their recent losing streaks as strong buying in metal stocks lifted overall sentiment. The Sensex jumped 668 points to close at 85,343, while the Nifty gained 219 points to settle at 26,158, supported by broad-based participation and positive market breadth. The rally was led by steel stocks after the government imposed a three-year safeguard duty of up to 12 percent on select steel imports, raising expectations of improved pricing power and profitability for domestic producers. JSW Steel and Tata Steel surged up to 5 percent, driving gains across the metal space.
Sentiment was further aided by a mild decline in crude oil prices, which helped ease inflation concerns, and a cooling in volatility, with India VIX slipping below 9.5. Value buying also emerged after the recent correction, as investors selectively accumulated stocks following multiple sessions of decline in the benchmarks. Broader markets joined the rebound, with mid- and small-cap indices rising up to 1 percent, reinforcing the recovery.
We remain cautious on the durability of the upmove. Persistent foreign institutional investor selling and the lack of fresh global or domestic triggers, particularly on the US–India trade front, continue to cap upside potential. From a technical perspective, while the pullback from lower levels has provided short-term relief, the Nifty needs to decisively move above the 26,000–26,050 zone to signal a clearer reversal. Until then, markets may remain range-bound with a cautious bias, even as bargain buying supports intermittent rebounds.
