More Stories

Informist, Wednesday, Dec. 31, 2025

MUMBAI – Derivatives analysts expect the Nifty 50 index to rise in the near term ahead of the December quarter earnings, which are expected to be better than those for earlier quarters. The Street expects sectors such as banking and financial services, consumer discretionary, automobiles, and metals to showcase improved performance in Oct-Dec. Analysts said sentiment is bullish in the near term and there is likely to be a relief rally after a consolidation phase of over a month.

While options data Tuesday showed indecisiveness among traders over the market's direction, by Wednesday the sentiment had turned positive, analysts said. The 50-stock index had faced selling pressure near 26000 points for over two sessions, but the index has now breached the level and ended above the crucial resistance.

The Nifty 50 ended the calendar year at 26129.60 points, up 190.75 points or 0.7%. The 50-stock index recorded returns of over 10% in 2025, slightly higher than 8.8% in 2024 but sharply lower than 20% in 2023. However, the domestic equity indices underperformed most global markets.

Wednesday, traders wrote put options at multiple strikes, implying the likelihood of a rise in the sessions to follow. The maximum put writing was seen at strike prices between 25900 and 26000 points, with premiums declining 65-68%. The highest addition of open interest was at the 26000 put strike, with nearly 14 million contracts.

For out-of-the-money call contracts expiring next week, premiums at strikes between 26200 and 26400 points rose 128-136%. The maximum addition of open interest was seen at the 26400 call strike. The maximum concentration of open interest was at the 26400 call and 26000 put contracts.

The put-call ratio for the current weekly expiry has turned positive, indicating positive sentiment, Vipin Kumaar, derivatives and technical analyst at Globe Capital Market, said. "Although Nifty (50) is still hovering in the same congestion range (25700-26325 spot) with immediate resistance around 26240-26325 spot zone, and for any meaningful gains, it needs to breach the said congestion zone," he added.

--Nifty 50 January closed at 26304.80, up 186.00 points; 175.20-point premium to the spot index
--Nifty 50 February closed at 26444.00, up 185.60 points; 314.40-point premium to the spot index

--Nifty 50 March closed at 26622.00, up 293.30 points; 492.40-point premium to the spot index

Vodafone Idea, Indus Towers, Reliance Industries, JSW Steel, Steel Authority of India, Tata Steel, Dixon Technologies (India), ICICI Bank, Axis Bank, Infosys, Kotak Mahindra Bank, Multi Commodity Exchange of India, HDFC Bank, Shriram Finance, Bajaj Finance, Canara Bank, and Hindustan Zinc were the most actively traded underlying stocks Wednesday.  End

Edited by Rajeev Pai

For users of real-time market data terminals, Informist news is available exclusively on the NSE Cogencis WorkStation.

Cogencis news is now Informist news. This follows the acquisition of Cogencis Information Services Ltd. by NSE Data & Analytics Ltd., a 100% subsidiary of the National Stock Exchange of India Ltd. As a part of the transaction, the news department of Cogencis has been sold to Informist Media Pvt. Ltd.

Informist Media Tel +91 (22) 6985-4000

Send comments to feedback@informistmedia.com

© Informist Media Pvt. Ltd. 2025. All rights reserved.