Market Wrap

Indian equity benchmarks ended Wednesday’s volatile session on a subdued note, with selling pressure dominating most of the day. The Nifty opened flat amid mixed global cues but quickly slipped into the red as bears took control in early trade. The index remained under pressure through the session and finally closed around the 25,800 mark, down 0.16%, marking its second consecutive decline.

Despite a recovery in the Indian rupee, markets failed to attract meaningful buying interest, underscoring the lack of a strong domestic trigger. Sectoral rotation remained sharp, making positioning difficult for traders and adding to intraday volatility. The Nifty Pharma index emerged as a relative outperformer, managing marginal gains after successfully defending its key 50-DEMA support. Strength in select heavyweight pharma stocks, backed by constructive technical structures, helped the sector buck the broader market trend.

In the global context, European markets traded with a positive bias. Germany’s DAX gained around 0.5%, France’s CAC closed marginally higher, and the UK’s FTSE stood out with nearly 1.7% gains. However, these supportive cues provided only limited relief to domestic sentiment.

What's Ahead

Market participants are likely to remain cautious as the Nifty continues to struggle near the 25,930 resistance zone. A sustained failure to reclaim this level could heighten downside risks in the near term. On the downside, immediate support is placed in the 25,700–25,760 band, with additional supports seen near 25,760 and 25,680. On the upside, resistance levels remain at 25,920 and the psychological 26,000 mark.

Sectoral churn is expected to persist, keeping volatility elevated and trend clarity limited. Key near-term triggers include the Sensex weekly expiry and the US November CPI inflation data due later today, both of which could influence global risk appetite and interest-rate expectations. Until a decisive trigger emerges, the market may remain range-bound with a negative bias, offering traders few easy opportunities.

Market Snapshots

Institiutional Activity

Sectoral Performance

Technical Outlook

Nifty 50

The NIFTY 50 extended its corrective phase for the third consecutive session, closing at 25,818.55, below key short-term averages, with momentum indicators weakening as the RSI slipped below the 50 mark. Despite defending the intraday low of 25,770, the index failed to sustain above the 25,900 zone, indicating persistent supply at higher levels amid continued FII selling and global uncertainty. The broader structure suggests consolidation with a negative bias, unless the index reclaims the 25,960–26,050 resistance band decisively. On the downside, immediate supports are placed at 25,663 and 25,571; a breakdown below this zone could accelerate selling pressure, while any pullback rallies are likely to face selling near overhead resistances.

Bank Nifty

The BANK NIFTY closed marginally lower at 58,926.75, slipping further below its 20-day EMA, which reflects fading short-term strength despite selective buying in PSU banks. The index’s ability to close well above the intraday low of 58,801 offers some stability, but the RSI drifting towards the 50 level signals loss of bullish momentum. As long as the index remains below 59,250–59,430, upside attempts may remain capped. Key supports lie at 58,617 and 58,425, and a decisive break below these levels could trigger a deeper corrective move, while a recovery above resistance is needed to revive bullish sentiment.

Nifty Financial Services

The NIFTY FINANCIAL SERVICES index underperformed, ending at 27,251.95 with broad-based selling pressure and weak market breadth, highlighting continued stress in non-banking financial and insurance stocks. The index remains vulnerable as it trades below key short-term averages, and momentum remains subdued. Immediate support is placed at 27,041, followed by a stronger base near 26,914, which will be critical to prevent further downside. On the upside, resistance at 27,454 and 27,582 is likely to act as a stiff hurdle, and only a sustained move above this zone could signal a pause in the corrective trend.

Sensex

The BSE SENSEX ended marginally lower at 84,559.65, reflecting a phase of consolidation amid mixed sectoral cues, with banking heavyweights weighing on the index while IT and select defensives offered support. Technically, the index continues to oscillate within a narrow range, indicating indecision among participants. Immediate support is seen at 84,080, followed by 83,787, which remains a crucial medium-term support zone. On the upside, resistance is placed at 85,028 and 85,321, and a breakout above this band is required to resume upward momentum; until then, the index may remain range-bound with a cautious bias.