Market Wrap

Indian equities extended their losing streak into a fifth straight session, with the Nifty 50 sliding 0.66% to close just under 24,900. The index slipped below its 50-day moving average, reflecting growing technical damage. Selling was broad-based but led by IT stocks, which tumbled after mixed results and weak guidance. In contrast, metals provided rare resilience, with several large-cap counters staging multi-week breakouts. FII outflows, a weaker rupee against the U.S. dollar, and strong safe-haven buying in gold and silver added to the defensive undertone. With only 11 Nifty constituents closing higher, market breadth remained deeply negative, underscoring the selective nature of gains.

What's Ahead

The near-term trajectory hinges on whether the critical 24,800–24,900 support band holds. A sustained move above 25,050–25,150 is needed to signal recovery, else risks extend to 24,800 and even 24,300. Three factors will dictate sentiment in coming days: FII flow trends, Q2 earnings delivery, and global cues from Fed commentary, dollar strength, and China-led commodity moves. Traders are advised to stay stock-specific, favor defensives and commodity plays, and maintain strict risk management until breadth and foreign inflows turn supportive.

Market Snapshots

Institiutional Activity

Sectoral Performance

Technical Outlook

Nifty 50

The NIFTY 50 slipped 166 points (-0.66%) to end at 24,890.85, marking a decisive break below its 50-day EMA and signaling further weakness ahead. With 43 out of 50 stocks closing in the red, breadth was firmly negative, led by sharp losses in Trent, TCS, Tata Motors, and Power Grid. Even heavyweights like ICICI Bank and Reliance could not lend support, posting modest declines. On the flip side, selective strength was seen in BEL, Hero MotoCorp, and Axis Bank, though it wasn’t enough to stem the broader slide. The intraday pattern showed early optimism fading into sustained selling, with the index retreating from a high of 25,092 to a close just above its low. RSI has slipped below 50, indicating weakening momentum. The key levels to watch are support at 24,726/24,625 and resistance at 25,055/25,157.

Bank Nifty

The Bank Nifty settled 145 points lower at 54,976.20 (-0.26%), after trading in a narrow but choppy range of about 373 points. Sentiment was subdued, with 8 of 12 constituents ending in the red. Losses in ICICI Bank and SBI dragged the index, while gains in AU Small Finance Bank and Axis Bank provided limited support. Notably, the index has breached both its 20-day and 50-day EMAs, pointing to emerging weakness after its recent rally. RSI remains in the mid-range, reflecting indecisive momentum. Immediate support lies at 54,559/54,301, while resistance is capped at 55,393/55,652.

Sensex

The SENSEX dropped 556 points (-0.68%) to close at 81,159.68, weighed down by heavy selling in index bellwethers ICICI Bank and Reliance. Market breadth was sharply negative, with 27 out of 30 constituents declining, highlighting the intensity of the selling. Gains in Axis Bank and Bharti Airtel were unable to meaningfully offset the damage. With the index slipping below near-term averages and market sentiment fragile, caution remains warranted. Key levels to track are support at 80,596/80,247 and resistance at 81,723/82,072.

FINNIFTY

The FINNIFTY ended 141 points lower at 26,247.40 (-0.53%), underperforming on the back of heavy losses in NBFCs and select finance names. Bajaj Finance, Jio Financial, and Shriram Finance led the declines, while ICICI Bank and SBI also dragged. Only a handful of stocks like Axis Bank and ICICI General Insurance posted modest gains. Breadth was overwhelmingly negative with 16 of 20 stocks in the red, underscoring weak sentiment across the financial space. The near-term outlook remains cautious, with support levels seen at 26,107/25,953 and resistance placed at 26,389/26,532.