Trade Setup for Thursday, December 4 2025: Bulls Kneel and Pray as Bears Dominate — but Nifty’s 25,703 Support Still Holds the Key.

Honestly speaking, December 2025 hasn’t kicked off the way the bulls hoped. Nifty is struggling, and even Bank Nifty has dipped into the red.

The Big Question:
Will this early-month correction force the bulls to rethink and tone-down their Santa Claus rally expectations?

Well, Maybe not just yet.
It’s only Day 3, and for the die-hard perma-bulls, the Christmas lights aren’t even plugged in. There’s still room to keep the festive spirit alive.

We say so because:
A rate cut from both the RBI and the Fed remains the magical spark that could revive momentum and put the rally back on track.

What Technicals Tells Us On Nifty:
Technically, Nifty’s near-term trend stays vulnerable as long as it trades below its all-time high of 26,326, with sellers defending every bounce. However, there’s a strong chance that bulls will regroup near the major support at 25,703 and attempt to flip momentum decisively, reopening the path toward fresh record highs.

# Long Story short: Yes, Nifty’s rally is at a crossroads with stronger headwinds for now — but a dovish RBI could still pull a rabbit out of the hat and propel the index back toward its all-time high of 26,325.80.

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