Market Wrap

Indian benchmark indices ended the week on a mildly positive note, with the Nifty 50 gaining around 0.74% to close near the 24,176 mark. Despite the positive finish, market sentiment remained cautious as indices traded in a choppy and range-bound manner throughout the week. Investors continued to balance mixed domestic signals with uncertain global developments, preventing any decisive breakout on either side.

Sectoral trends remained mixed during the week. Banking stocks faced notable pressure, with SBI declining nearly 6.7%, reflecting weakness in large-cap financials and limiting broader market upside. In contrast, the IT sector showed early signs of a potential recovery. Nifty IT formed a bullish engulfing candlestick pattern while momentum indicators hovered near oversold territory, raising expectations of a pullback rally after recent underperformance. A revival in IT could provide fresh leadership to the market in the coming sessions.

Global cues also kept volatility elevated. Rising geopolitical tensions between the US and Iran, along with uncertainty surrounding crude oil prices, kept investors cautious. Brent crude continues to remain a key variable for Indian markets, as any sustained rise could impact inflation expectations and corporate earnings. Technically, Nifty remained in consolidation mode for the second consecutive week within the broader 23,882–24,482 range, with support placed near 24,085–24,000 and resistance seen around 24,280–24,400.

What's Ahead

The coming week is expected to remain highly event-driven, with investors closely tracking global geopolitical developments and crude oil movement. Market participants will also monitor Donald Trump’s scheduled China visit for any signals related to trade relations, tariffs, or broader geopolitical positioning, which could influence global risk sentiment.

Domestically, focus will remain on sector rotation and whether IT stocks can sustain a meaningful recovery. If banking stocks stabilize and IT joins the ongoing rally in other large-cap sectors, markets could attempt another breakout toward higher levels. However, any escalation in geopolitical tensions or a sharp spike in crude oil prices may quickly bring volatility back into the market.

Market Snapshots

Institutional Activity

Sectoral Performance

Technical Outlook

Nifty 50

The NIFTY 50 ended lower at 24,176.15, declining 150.50 points (-0.62%) amid broad-based weakness in banking, financial, metal, and PSU stocks. Heavy selling in SBIN, HDFCBANK, BAJFINANCE, and AXISBANK kept sentiment under pressure throughout the session, while selective buying in TITAN, APOLLOHOSP, and ASIANPAINT helped limit sharper downside. Technically, the index continues to trade with a cautious bias as it failed to sustain above key resistance levels. The RSI has slipped near the 50 mark, indicating fading bullish momentum and a possible pause in the recent uptrend. Immediate support is placed near 23,986 followed by 23,869, while resistance is seen around 24,366 and 24,484. A decisive move beyond either side of this range could determine the next directional trend for the index.

Bank Nifty

The NIFTY BANK index closed sharply lower at 55,310.55, down 736.85 points (-1.31%), as persistent weakness in heavyweight banking counters dragged the index toward the day’s low. Major pressure came from SBIN, HDFCBANK, AXISBANK, and BANKBARODA, reflecting sustained selling interest across PSU and private banking names. Technically, the index remains under pressure after failing to hold above the 56,000 zone, while the RSI has slipped below the 50 level, indicating weakening momentum and a loss of bullish strength. Near-term support is placed at 54,547 followed by 54,075, whereas resistance levels are seen at 56,074 and 56,546. Unless banking stocks witness stability, the index may continue to remain vulnerable to further corrective moves in the short term.

Nifty Financial Services

The NIFTY FINANCIAL SERVICES index witnessed a steep correction, falling 438.00 points (-1.66%) to close at 26,011.50 amid widespread weakness across banks, NBFCs, and financial counters. Sharp declines in SBIN, HDFCBANK, BAJFINANCE, and AXISBANK kept the index under pressure throughout the session, while only limited support from PFC and KOTAKBANK restricted deeper losses. The broader structure indicates weakening market sentiment within the financial space, with market breadth remaining sharply negative. Technically, the index appears to be losing momentum after failing to sustain higher levels, suggesting continued consolidation or corrective bias in the near term. Key support levels are placed at 27,688 and 27,198, while resistance levels are seen at 29,270 and 29,760.

Sensex

The BSE SENSEX settled lower by 516.33 points (-0.66%) at 77,328.19, weighed down by weakness in heavyweight banking and financial stocks despite selective buying in IT and consumption counters. Losses in SBIN, HDFCBANK, BAJFINANCE, and AXISBANK dragged the benchmark lower, while gains in TITAN, ASIANPAINT, INFY, and HCLTECH helped cushion the decline. Technically, the index continues to trade within a broader consolidation range, reflecting cautious investor sentiment amid mixed domestic and global cues. The inability to sustain above higher levels indicates profit booking pressure near resistance zones. Immediate support is placed near 76,595 followed by 76,141, while resistance levels are seen at 78,062 and 78,516. A sustained move above resistance could revive bullish momentum, whereas a break below support may trigger further downside pressure.