Nifty Breaks the Congestion Zone: A Critical Week Ahead
Nifty has finally resolved the congestion zone on the upside. The price behaviour at Friday’s
close already hinted that the odds were shifting in favour of an upside resolution, and today’s
gap-up opening has so far validated that view by convincingly clearing the resistance zone. This,
however, is not just another routine trading week. From a time-cycle perspective, as
discussed in Friday’s note, the current week carries added importance. For the ongoing up-move
to retain its strength, Nifty spot must respect and hold today’s gap on the daily chart. If this
condition is met, the structure opens up for a move towards the 26500 zone in the near term.
Overall, this is a critical phase for the index, and price behaviour over the coming sessions will
reveal whether this breakout develops into a sustained move or remains a short-lived burst of
momentum.

Market Note: When the Noise Fades, the Market Speaks
Markets often move the least when everyone is waiting — and move the most once the waiting is
over. With the Bank of Japan meeting now behind us, a major source of global event risk has been
cleared. The absence of stress across currencies, bonds, and global equities is a signal in itself — the
market has absorbed the event and is now free to focus on structure.
For Nifty, this shift is important. The index has spent several sessions locked in a well-defined
congestion zone around 26,040–26,060 on spot. This is not random price action — it reflects
compression, patience being tested, and energy being stored.
With headline risk now reduced, the probability of Nifty attempting to resolve this congestion zone on
the upside improves, provided there is acceptance above the 26,040–26,060 band. The market finally
has room to respond to its internal setup rather than external noise.
What adds further weight to this view is the time element.
Next week stands out as significantly important on the time front, based on ongoing Gann cycle
studies. Extended consolidations often resolve when price and time align, and given how tightly Nifty has
been compressed, the market appears close to such a junction.
Key observations remain disciplined and clear:
• Broader structure remains constructive
• Momentum has been delayed, not damaged
• Event-driven uncertainty has eased materially
• Time is now stepping into a more active role
If acceptance above the congestion zone emerges, the index may finally transition out of this frustrating
sideways phase. If not, risk remains clearly defined — and clarity itself is an edge.
Closing Thought: When markets stop reacting to news, they start revealing intent. With event risk
behind us and time turning active, the next phase may arrive quietly — but it is unlikely to arrive
small.

Price, Time & Structure — A Market Update
NIFTY — Levels That Decide Direction
Nifty continues to struggle for clear direction, much like it has over the last several sessions. Two critical
spot levels remain in focus — 25650 on the downside and 26040 on the upside. The index moved
into the 26040 zone on Friday and again recently, but the lack of follow-through has taken the
immediate breakout scenario off the table for now.
Unless the index can sustain above 26040 consistently, the setup is likely to remain sceptical and
directionless. To generate a directional move, Nifty will need either a sustained acceptance above
26040 or a decisive break below 25650 on the downside.
On the macro front, this week’s Bank of Japan meeting is extremely important for global markets. Any
adverse reaction is likely to be short-lived and is unlikely to alter the medium-term uptrend in Indian as
well as U.S. markets.
USD/JPY — The Silent Risk Monitor
USD/JPY deserves close attention. A sustained move below 150 is typically where leverage begins to
feel uncomfortable and margin pressure starts surfacing quietly in the background.
A break below 145 is more serious. That zone often marks the point where positions stop being
discretionary and start becoming forced, allowing liquidation pressure to feed on itself.
December 19, 2025 stands out as an important time window — not because something must occur on
that day, but because conditions around that period could allow long-standing leverage structures to
begin unwinding.
Stay aware. Respect levels. Position accordingly.

This evening, we have a significant market-moving event — the FOMC rate
decision.
U.S. markets have been quiet and sideways lately, and today’s announcement should
finally bring movement. The medium-term structure in the U.S. remains bullish,
though short-term volatility across asset classes is likely.
Coming to Nifty, our stance remains the same: the medium-term trend is strong.
However, in the short term, the index still lacks momentum as long as the spot stays
below 26040. A healthy pullback remains possible toward 25650 and 25350. Position
accordingly.
On the time-cycle front, tomorrow marks a critical date. The market’s reaction
post-FOMC will shape our next steps.
Once this event concludes, we will also begin focusing on selective stock
opportunities with better clarity.

GANN INSIDES — SHORT TERM OUTLOOK
NIFTY OUTLOOK — A DAY WHEN THE MARKET WOKE UP
SWINGING
If there was ever a day that could give traders whiplash, today is the one. Nifty’s sudden
rebound from the intraday pit at **25,728** wasn’t just a bounce — it was the market
reminding everyone that it can turn on a dime when you least expect it.
1️⃣ Breadth Explosion — From 350 Advancers to Nearly 1,800
In the morning, the market looked like it was collapsing under its own weight:
• Only **350 stocks** advancing
But now nearly **1,800 stocks** are green — a massive internal momentum flip.
This is not casual. This is institutional repositioning.
2️⃣ The Setup is Still Shaky — Foggy, Uncomfortable, and Not for the
Impatient
Despite the fireworks, the immediate-term structure is **wobbly**.
The recovery was aggressive, but structurally the market is still in a **zone of confusion**,
not conviction.
3️⃣ The Gatekeeper Level: 26,040 (Spot)
This is the **line of truth**.
Above **26,040**, the fog clears and the next leg can open up.
Below it — expect chop, traps, and indecision.
4️⃣ Support That Matters: 25,650 (Closing Basis Only)
The structural guardrail remains **25,650**.
As long as Nifty holds this **on closing basis**, the broader bullish structure is intact.
SUMMARY — The Market’s Message Today
⚡ Internals: surging with strength
🕸️ Structure: still uncertain
🔺 Confirmation: **26,040**
🔻 Protection: **25,650**
Today sends a loud but mixed message — strength underneath, indecision above the
surface.

🔶 NIFTY Market Update – Key Highlights
NIFTY recently made a fresh all-time high but has been consolidating since.
The next major momentum wave will trigger ONLY when NIFTY Spot gives a daily close above 26,277
So far, this confirmation has not occurred, and therefore the index has remained sideways despite staying in a strong bullish structure.
This consolidation phase is expected to continue until a decisive daily close occurs above 26,277
Critical support remains placed at 25,650 (Spot)

⏳ Important Time-Cycle Dates
• December 4th – Critical cycle date
• December 9th – Secondary but important cycle date

NIFTY 26277 CONQUERED: THE NEW BULL MARKET
COMMENCES
The mission is accomplished! NIFTY has decisively stormed past all prior resistance, confirm-
ing a powerful new all-time high above 26277 on spot. This moment is the culmination of our
unwavering conviction since early
October; we and our clients held aggressive long positions on large caps and index futures,
navigating every
pullback with discipline, all in confident anticipation of this surge. With our primary target of
26277 achieved, astute trade management dictated booking partial profits, securing a superb
return.
However, let there be no mistake: our view remains absolutely and profoundly bullish on the
Indian market, setting the stage for significantly higher targets, and technically, this is now a
definitive “buy on all dips” market. A
sustained daily close above 26277 is the trigger
we are watching for, which will immediately open the floodgates for NIFTY to target the
26800 to 27000 band
Honestly, I was expecting this new high on October 16th, but that did not materialize, and as
a dedicated student of time cycles, I will be exploring the potential reasons that caused this
specific timing delay; I am committed to continuously analysing the data and working on my
methodology to get better and improve over time.
The message is clear: the path of least resistance is up. Think Bullish. Trade Bullish. Let the
momentum work for us.
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