According to Bajaj Broking Research, investors should consider two key stocks for December 12, 2025: Eternal and Divi’s Laboratories. The report notes that benchmark indices are currently in a corrective phase due to global uncertainties and selling by foreign institutional investors. It also suggests that the market’s direction will be influenced by insights from central banks and developments in trade negotiations between the U.S. and India.
Market Overview
The Indian stock market is navigating a corrective phase, with benchmark indices trading around the 25,900 mark. This trend emerges as domestic markets react to a global risk-off sentiment, exacerbated by continued foreign institutional investor selling and a weakening rupee. The report emphasizes that the market’s short-term trajectory will largely depend on central bank commentary and clarity surrounding U.S.-India trade negotiations.
Support for the Nifty index is identified between 25,700 and 25,800, which aligns with a bullish gap from November 12 and the 50-day exponential moving average. Upholding this support level is critical for sustaining the positive momentum observed over the past three months. The prediction is that the Nifty will consolidate within a range of 25,700 to 26,200, with a breakout or breakdown from this range likely to steer future market movements. A close below 25,700 could indicate further declines, while surpassing 26,200 may lead to a rally towards 26,500.
Bank Nifty Analysis
The Bank Nifty index is currently consolidating within a 700-point range following recent gains. The report suggests this index is likely to continue its consolidation, forming a base between 58,500 and 60,100 in the coming sessions. A breakout above the recent high of 60,100 could facilitate further gains towards the 61,000 level.
The report highlights that the upward movement seen over the past two months is well-channeled, indicating sustained demand at elevated levels. Key support for the Bank Nifty is located between 58,300 and 58,600, aligning with lows from the past two weeks and a recent breakout area. Maintaining support above this zone is essential for preserving a positive short-term outlook.
Stock Recommendations
Bajaj Broking Research recommends that investors consider purchasing shares of Eternal within the price range of ₹285 to ₹292. The stock has undergone a corrective phase over the past two to three months and is now consolidating around a significant demand zone. This technical setup indicates a favorable risk-reward profile, suggesting potential for a bullish reversal. The anticipated rebound is aimed at the ₹323 level in the coming months, in line with key Fibonacci retracement levels and previous highs.
Additionally, Divi’s Laboratories is recommended for buying within the range of ₹6,350 to ₹6,450. The stock is on the verge of breaking out from a falling channel, indicating a potential resumption of upward movement. The report mentions that Divi’s Laboratories has retraced only 50% of its prior rally, reflecting a robust underlying structure. The target price for this stock is set at ₹6,850, which coincides with trendline resistance established in July and November 2025.
Disclaimer: Digihunt is not a financial advisor and this is not investment advice.