Market Wrap

Indian equities faced sharp selling pressure as Nifty opened near 26,022 but quickly reversed amid global weakness, closing at 25,910.05 (-0.4%). Market breadth was decisively negative, with over 2,100 stocks declining, signaling a broad-based unwind rather than sector-specific weakness. All sectoral indices ended in the red — realty suffered the steepest fall, while consumer durables held up relatively better. The dominant driver of today’s decline came from overseas: Asian markets plunged, led by Nikkei (-3.17%) and Kospi (-3.32%), as rising Japan–China geopolitical friction spooked global investors. Domestic cues, including tentative optimism around India–US trade discussions, were overshadowed by the global sell-off. Technically, every intraday rebound attempt faded near the 25,980–25,990 zone, reinforcing the risk-off tone. Overall, the session was dictated almost entirely by global macro headlines, leading to broad, indiscriminate selling across the board.

What's Ahead

Volatility is expected to stay elevated, with the next directional cues likely to come from Asian market follow-through, U.S. futures, and any fresh geopolitical developments. On the domestic front, traders will watch for clarity on the India–US trade understanding, which could lend stability if progress is confirmed. Key technical levels remain crucial: supports at 25,840 / 25,760 / 25,680, while resistance stands at 26,000 and 26,085. A positive global catalyst or constructive trade announcement could trigger a short-covering bounce, whereas sustained weakness in global risk sentiment may drag the index toward deeper support zones. Traders should stay nimble, avoid aggressive positioning, and prefer selective opportunities until global volatility cools.

Market Snapshots

Institiutional Activity

Sectoral Performance

Technical Outlook

Nifty 50

The Nifty 50 extended its winning streak for the sixth straight session, rising 103.40 points to close at 26,013.45 (+0.40%), supported by broad-based buying across sectors. With 33 of 50 stocks advancing, the index saw leadership from ETERNAL, Tata Consumer, Max Healthcare, Kotak Bank, and Maruti, while Tata Motors’ steep fall of 4.74% capped stronger gains. Intraday strength was evident as the index bounced from 25,906 to a fresh high of 26,024, reflecting persistent institutional appetite driven by strong Q2 earnings and optimism around a prospective US–India trade agreement. Technically, the RSI above 70 signals strong bullish momentum but also overbought conditions, suggesting the possibility of short-term consolidation. Immediate support lies at 25,827 / 25,713, while resistance is seen at 26,195 / 26,309.

Bank Nifty

Bank Nifty delivered a strong session, rising 445.15 points (+0.76%) to close at 58,962.70, with all 12 constituents finishing in the green—a clear indication of sector-wide strength. Gains were led by AU Bank, Canara Bank, Federal Bank, and Kotak Bank, while heavyweights HDFC Bank and ICICI Bank added steady support. The index climbed from 58,605 to an intraday high of 59,001, confirming sustained buying interest. With the RSI nearing 70, bullish momentum is strengthening, though traders should watch for potential overextension. Key support levels are at 58,528 / 58,258, while resistance is positioned at 59,398 / 59,667.

Sensex

The Sensex climbed 388 points (+0.46%) to close at 84,950.95, supported by broad-based strength with 20 of 30 stocks advancing. Key contributors included ETERNAL, Maruti, and Kotak Bank, each gaining more than 1%. Heavyweights such as Reliance and HDFC Bank also aided the index’s move, although selling in Tata Motors (-4.83%) and Asian Paints weighed slightly on sentiment. The index remains comfortably above support levels at 84,372 / 84,017, with resistance at 85,521 / 85,877.

FINNIFTY

FINNIFTY advanced 0.56% to close at 27,646.20, driven by gains in SBI Card, ICICI General Insurance, and Kotak Bank. With 14 of 20 stocks closing higher, sentiment remained constructive despite mild weakness in Chola Finance, Jio Financial, and HDFC Life. The broader trend remains positive with support at 27,464 / 27,349 and resistance at 27,838 / 27,953.