The last day of 2025 may start on a bright note on Wednesday, amid a positive global signal. Gift Nifty at 26,115 signals a positive opening, but analysts expect the market to remain lacklustre on thin volumes amid the holiday mood. Lack of clear directions from the global market and continuous selling by foreign portfolio investors to keep the market under check, they added.
Indian equity markets are set to conclude 2025 on a subdued note in the final trading session, as extremely thin year-end liquidity, global holiday closures, and continued FII caution limit meaningful participation, said Ponmudi R, CEO of Enrich Money, “With most global markets either shut or operating in shortened sessions for New Year’s Eve, intraday volatility is expected to remain compressed. In the absence of fresh domestic triggers, markets are likely to stay range-bound, with selective stock-specific action driven by year-end portfolio adjustments rather than broad directional conviction,” he said.
The derivatives landscape reflects a cautious and guarded stance.
Call writers have added fresh positions at at-the-money and nearby strikes, reinforcing overhead resistance and restricting upside attempts. Meanwhile, put writers have pared exposure and rolled positions to lower strikes, pointing towards expectations of continued consolidation rather than an immediate directional breakout, said Dhupesh Dhameja, Derivatives Research Analyst, SAMCO Securities. The Put-Call Ratio (PCR) has improved to 0.69 from 0.56, indicating cautious sentiment and suggesting that sellers continue to dominate at higher levels, he said.
Volatility edged higher, with India VIX rising marginally by 0.44 percent to 9.67, indicating a slight uptick in near-term uncertainty but remaining within a low-volatility regime, said Amruta Shinde, Technical & Derivative Analyst at Choice Equity Broking Private Limited. Derivatives data shows aggressive call writing at the 26,000 strike, while strong put open interest around the 25,900 level reinforces this zone as an important near-term support and pivot area. A sustained close back above 26,000 would be required to revive bullish momentum, while failure to reclaim this level could keep the market in a consolidation-to-corrective phase in the near term,” she said.