Market Wrap

Indian equities started the session with strong momentum, with the Nifty 50 soaring nearly 200 points to hit an intraday high of 26,104, fuelled by robust buying in IT and select large-cap stocks. However, profit-booking in the latter half pared gains, pulling the index back to settle near 25,900. The market’s tone, though subdued in closing, remained broadly constructive as IT continued to outperform on expectations of a rebound in global tech spending. Global cues were mixed, with Asian and European markets trading without a clear direction. On the macro front, sentiment received a boost after reports indicated that the long-anticipated India–US trade deal could be announced at the upcoming ASEAN Summit in Malaysia. The proposed tariff reduction from 50% to nearly 15–16% on select goods could materially benefit India’s manufacturing, electronics, and specialty chemicals sectors. Still, domestic traders preferred to lock in some profits after a sharp rally, signalling a short-term consolidation phase.

What's Ahead

Markets may now enter a period of range-bound movement as investors digest recent gains and await fresh catalysts. Key focus will remain on the ASEAN Summit and any confirmation regarding the India–US trade pact. Midcap earnings announcements and upcoming global central bank policy decisions will also play a critical role in shaping sentiment. Technically, the Nifty has immediate support at 25,800–25,730 and resistance at 26,000–26,080. A sustained move above the upper range could rekindle bullish momentum, while consolidation near support would help build strength for the next leg higher.

Market Snapshots

Institiutional Activity

Sectoral Performance

Technical Outlook

Nifty 50

The NIFTY 50 index ended marginally higher by 0.09% at 25,891.4, as early optimism faded amid profit-booking. The index opened strong near 26,057 and surged to an intraday high of 26,104, supported by optimism around the potential India–US trade deal and a buyback announcement from Infosys that boosted IT sentiment. However, heavy selling in banking and telecom names erased much of the early gains. IT heavyweights such as Infosys (+3.81%), HCL Technologies (+2.55%), and TCS (+2.21%) provided crucial support, while ICICI Bank (-1.32%), Bharti Airtel (-1.74%), and HDFC Bank (-0.11%) weighed on the index. Market breadth was modestly positive, with 28 advances versus 22 declines. Despite the intraday volatility, the RSI above 70 indicates sustained bullish momentum. For the near term, support is placed at 25,571 and 25,373, while resistance lies at 26,212 and 26,410.

Bank Nifty

The NIFTY BANK index edged up by 0.12% to close at 58,078.05, marking a narrow gain after a volatile session. The index opened at 58,314, touched a high of 58,577.5, and then slipped to a low of 57,951 before ending flat. Gains were led by IDFC First Bank (+2.85%), Axis Bank (+1.74%), and Kotak Bank (+1.30%), while ICICI Bank (-1.32%) and Bank of Baroda (-1.28%) limited the upside. The RSI hovering near 70 signals that momentum remains strong, but some consolidation may occur if profit-taking continues. Immediate support is seen at 57,276 and 56,779, while resistance is capped at 58,881 and 59,377.

Sensex

The SENSEX closed 130 points higher at 84,556.4, up 0.15%, driven primarily by IT heavyweights. Infosys (+3.81%), HCL Tech (+2.55%), and TCS (+2.21%) lifted the index, while losses in ICICI Bank (-1.32%), Reliance (-1.15%), and Bharti Airtel (-1.74%) restricted gains. Out of 30 constituents, 22 ended higher, reflecting selective buying despite a mixed tone across sectors. Banking names like Axis Bank (+1.74%) and Kotak Bank (+1.30%) added strength. On the technical front, support levels are seen at 83,476 and 82,807, while resistance is pegged at 85,637 and 86,306.

FINNIFTY

The NIFTY FINANCIAL SERVICES index closed slightly higher by 0.07% at 27,556.65, supported by selective gains in private lenders. Axis Bank (+1.74%), Kotak Bank (+1.30%), and Shriram Finance (+2.07%) lent support, while Muthoot Finance (-2.83%) and ICICI Bank (-1.32%) capped broader upside. Market breadth remained evenly balanced with 10 gainers and 10 losers, reflecting a neutral undertone. The index’s muted movement suggests consolidation within a tight range after recent gains. Near-term support is at 27,199 and 26,978, while resistance levels are positioned at 27,914 and 28,136.