Indian equity benchmarks navigated a choppy trading session on Thursday, ultimately closing in positive territory after a period of significant volatility. The market's movement reflected a blend of cautious optimism and profit-taking ahead of key domestic and geopolitical events.
Benchmarks End Higher After Roller-Coaster Ride
After a day marked by sharp swings, the Nifty 50 index managed to gain 47 points, settling at 26,033. Its larger peer, the Sensex, advanced by 158 points to close at 85,265. However, the banking sector underperformed, with the Bank Nifty index slipping 59 points to end at 59,288. Sectoral performance was mixed; the IT index emerged as the top gainer, rallying 1.30%, while the Media index was the biggest loser, declining over 1.55%.
Expert View: Range-Bound with Cautious Optimism
Vaishali Parekh, Vice President of Technical Research at Prabhudas Lilladher, noted that market sentiment has turned cautious to positive after the Nifty 50 regained the psychologically important 26,000 level following three consecutive days of losses. She emphasized that the index remains confined within a range of 25,800 to 26,300. A decisive breakout on either side will determine the next directional trend.
"The index would have the important near-term support near the 25,770-25,800 band, which needs to be sustained," Parekh stated. "On the upside, the 26,300 zone would be the resistance which needs to be breached to carry on with the positive move further ahead." She identified immediate support and resistance at 25,900 and 26,300, respectively.
Bank Nifty Consolidates Ahead of RBI Decision
Regarding the Bank Nifty, Parekh observed a range-bound movement with consolidation around the 59,300 level as the market awaited the Reserve Bank of India's (RBI) policy outcome. She maintained a positive bias for the index, placing its near-term support at 58,700 and resistance at 60,100. The daily range is expected to be between 58,800 and 60,000.
Stocks to Watch: Intraday Picks from an Expert
In the context of Russian President Vladimir Putin's visit to India and the impending RBI policy announcement, Vaishali Parekh recommended three stocks for intraday trading on Friday, December 5, 2025:
- Usha Martin: Buy at ₹436, target ₹460, stop loss ₹426.
- Coforge: Buy at ₹1966, target ₹2070, stop loss ₹1945.
- Newgen Software Technologies: Buy at ₹901, target ₹945, stop loss ₹880.
All Eyes on the RBI Monetary Policy Decision
The market's primary focus on Friday will be the RBI's monetary policy announcement. The Sanjay Malhotra-headed Monetary Policy Committee (MPC) concluded its fifth bi-monthly meeting for FY26 on December 5. The decision on the repo rate will be announced today. The meeting was held against a backdrop of strong economic growth, historically low inflation, and a rupee trading near 90 against the US dollar.
Disclaimer: The views and recommendations are those of the individual analyst. They do not represent the views of Mint. Investors are advised to consult certified experts before making any investment decisions.
