Market Wrap

Indian equity markets ended a volatile trading session on a steady note as late buying interest helped benchmark indices recover from intraday lows. The Nifty 50 opened 54 points higher at 24,669, supported by record closing highs in the U.S. markets, but profit booking in the first half of the session dragged the index below the 24,600 mark. Selling pressure resurfaced during the afternoon before a sharp rebound in the final hour, coupled with strong closing auction buying, enabled the index to settle almost unchanged at 24,624.65, wiping out the day's losses.

The session reflected continued buying interest at lower levels despite intermittent profit booking, indicating that investors remain constructive on the broader market outlook. On the macro front, the Reserve Bank of India kept the repo rate unchanged at 5.25%, maintaining a cautious stance amid global uncertainties while reaffirming confidence in the resilience of the domestic economy. The central bank reiterated that future policy decisions would remain data-dependent, with inflation trends, crude oil prices, and geopolitical developments continuing to influence its outlook.

Global sentiment remained supportive following fresh record highs in the Dow Jones Industrial Average and the S&P 500. However, investors remained focused on the ongoing corporate earnings season, upcoming macroeconomic releases, and commentary from major central banks for further market direction.

What's Ahead

Market participants are expected to remain focused on company-specific developments as the earnings season gathers momentum, with several large-cap companies scheduled to announce their quarterly results. Management commentary on demand trends, margins, and future guidance will likely play a key role in determining stock performance. Globally, investors will monitor upcoming U.S. economic data, bond yield movements, and any fresh developments related to international trade and geopolitical tensions. With the RBI maintaining the status quo on interest rates, domestic monetary policy uncertainty has eased, shifting the market's attention toward corporate fundamentals and global macroeconomic cues.

Market Snapshots

Institutional Activity

Sectoral Performance

Technical Outlook

Nifty 50

The Nifty 50 ended the session on a flat note after a volatile trading day, forming a small-bodied candlestick on the daily chart, indicating consolidation following the recent rally. Despite intraday profit booking, the index continued to trade above its key short-term moving averages, while the RSI at 61.96 suggests bullish momentum remains intact. A decline in India VIX to 12.06 and a Put-Call Ratio (PCR) of 1.15 reflect improving market sentiment and a favourable derivatives setup. Strong Put Open Interest around the 24,500–24,600 zone reinforces immediate support, while significant Call writing near 24,700–24,800 may cap near-term gains. As long as the Nifty holds above the 24,400–24,450 support zone, the broader trend is expected to remain constructive. A decisive move above 24,750–24,800 could trigger fresh upside momentum, while a break below support may result in a short-term corrective phase.

BankNifty

Bank Nifty ended lower after witnessing sustained selling pressure through most of the session, forming a bearish candlestick that reflects near-term weakness. However, the index continues to hold above its important medium-term moving averages, indicating that the broader trend remains positive despite ongoing profit booking in private banking stocks. Price action suggests buyers are emerging near lower levels, while higher levels continue to attract supply, resulting in a range-bound structure. Immediate support is placed at 57,200–57,400, whereas 58,000–58,200 remains the key resistance zone. As long as the support zone remains intact, the index is likely to maintain a sideways-to-bullish bias, with dips expected to attract buying interest. A sustained breakout above resistance could revive bullish momentum, while a breach below support may lead to further corrective pressure.

Sensex

The BSE Sensex recovered from intraday lows to end higher, highlighting buying interest at lower levels despite persistent selling pressure during the session. Technically, the index continues to consolidate above its 20-Day, 50-Day and 100-Day EMAs while remaining below the 200-Day EMA, suggesting that the short-to-medium-term trend remains constructive, although confirmation of a stronger uptrend will require a decisive move above the long-term resistance. The RSI has strengthened to 61.13, indicating sustained positive momentum, while sectoral participation remained broad-based with strength in consumer discretionary, financials, auto and healthcare stocks. Immediate support is placed at 77,800–78,100, whereas 79,000–79,300 remains the key resistance zone. As long as the index holds above support, the overall outlook remains sideways to bullish, with a buy-on-dips strategy likely to remain favourable for traders.