Nifty 50 Technical Analysis for Friday, 19 December 2025
Buy or Sell? Key Support, Resistance, Targets & Stop Loss
The Nifty 50 index is currently in a consolidation phase after a strong upward rally, offering traders an opportunity to plan structured trades instead of chasing price moves. Such phases are often misunderstood as weakness, but in reality, they help the market regain strength before the next directional move.
In this blog, we analyze the daily technical chart of Nifty 50 and convert it into practical, executable trade strategies for Friday, 19 December 2025.
Current Market Overview
Nifty is trading near 25,815, marginally below its recent highs. The absence of aggressive selling indicates that the market is not in panic mode. Instead, it reflects controlled profit booking and time-wise correction.
What the Daily Chart Indicates
- Nifty remains above the 50-DMA, 100-DMA, and 200-DMA, keeping the medium- to long-term trend bullish
- Short-term moving averages (20 & 50 EMA) are flattening, hinting at a range-bound structure
- RSI (14) is hovering around the neutral zone (46–48), suggesting no overbought or oversold conditions
This environment is ideal for buy-on-dips and sell-on-rise strategies rather than aggressive breakout trades.
Nifty 50 Key Support and Resistance Levels
Major Support Levels
- 25,700 – 25,650:
Immediate support zone. Holding above this area indicates buyer strength. - 25,450 – 25,400:
Strong positional support near the 100-DMA. A breakdown below this level may weaken sentiment.
Major Resistance Levels
- 25,950 – 26,000:
Strong supply zone. Multiple rejections seen earlier. - 26,200 – 26,250:
Major resistance and previous top where profit booking is expected.
Nifty 50 Buy Strategy for 19 December 2025
✅ Buy on Dips (Preferred Strategy)
- Buy Zone: 25,720 – 25,760
- Stop Loss: 25,580 (closing basis for positional trades)
- Targets:
- Target 1: 25,950
- Target 2: 26,100
Why This Trade Works
Buying near support improves risk-reward ratio and avoids emotional entries. If the market respects the support zone, the probability of a bounce remains high.
Nifty 50 Sell Strategy for 19 December 2025
❌ Sell on Rise (Short-Term Trade)
- Sell Zone: 25,980 – 26,050
- Stop Loss: 26,180
- Targets:
- Target 1: 25,750
- Target 2: 25,600
Trade Logic
Repeated failure near the 26,000 mark suggests selling pressure. Short trades should only be considered after clear rejection signals, not blindly.
Technical Indicator Perspective
- RSI: Neutral, indicating balanced momentum
- Moving Averages: Overall trend remains positive
- Volume: No abnormal spike, confirming lack of panic selling
This confirms that the market is consolidating, not reversing.
How Traders Should Approach Nifty Now
- Avoid overtrading in the middle of the range
- Trade near support and resistance zones only
- Use strict stop losses and proper position sizing
- Wait for confirmation instead of predicting market direction
In sideways markets, discipline matters more than accuracy.
Final Outlook for Nifty 50
- Above 26,000: Bullish momentum may resume
- Below 25,650: Short-term weakness can extend
Until a decisive breakout or breakdown occurs, range-based trading with controlled risk remains the most practical approach.
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Disclaimer
The views and analysis provided above are for educational and informational purposes only and should not be considered as financial or investment advice. Trading and investing in the stock market involve risk, and past performance does not guarantee future results.
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