Stock Market Today: Nifty 50, Sensex Signal Muted Start - Key Triggers, Sector Trends, and FII-DII Moves Explained

Indian benchmark indices Sensex and Nifty 50 are expected to open on a cautious note on Tuesday, following mixed global market cues and subdued trends in Gift Nifty. After a robust rally in the previous session that saw Nifty 50 cross the 24,900 mark, early signs suggest a potential pause in momentum.

Gift Nifty was seen trading near 24,982, almost 27.50 points, showing a weak opening for the market today. 

Monday Recap: Broad-Based Rally Propels Markets
On Monday, Indian markets witnessed a strong surge across the board, with the Sensex rallying 677.55 points (0.84%) to close at 81,796.15, while the Nifty 50 gained 227.90 points (0.92%), settling at 24,946.50.

According to Sudeep Shah, Deputy VP & Head of Technical & Derivatives Research, SBI Securities, “In the first trading session of the week, the benchmark index Nifty closed on a strong note at the 24,946 level with a gain of 0.92%. One of the most striking aspects of the session was the broad-based buying momentum that swept across all sectoral and thematic indices, reflecting widespread investor confidence.”

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Leading the rally were Nifty IT and Nifty Realty, which outperformed and helped drive the market’s bullish move. The Nifty Midcap 100 and Nifty Smallcap 100 also showed resilience, bouncing sharply from their respective 20-day EMA levels and closing firmly in the green.

Technical Outlook: Key Levels to Watch
For Tuesday’s session, Shah highlighted crucial technical levels:
Nifty 50:
Resistance: 25,050–25,080
Support: 24,830–24,800
“If the index sustains above 25,080, it could test 25,200 in the short term,” said Shah.

Sensex:
Resistance: 82,200–82,300
Support: 81,500–81,400
“The index surged above its 20-day EMA on Monday and ended near the 81,800 mark.”

Bank Nifty:
Resistance: 56,300–56,400
Support: 55,600–55,500
Shah noted, “Bank Nifty reclaimed its 20-day EMA, indicating a bullish undertone.”

Volatility and Sector Watch
The India VIX, a gauge for market volatility, slipped by 1.61% on Monday, suggesting reduced fear among traders. Going forward, the zone of 15–15.20 will act as a hurdle, while 13.50–13.30 is seen as immediate support.

Among sectors, Shah said, “Nifty IT continues to outperform frontline indices, trading above key short and long-term moving averages. The daily RSI remains bullish, indicating further upside.”

He also pointed out relative strength in Realty, Financial Services, CPSE, and Healthcare, suggesting these sectors may continue their outperformance in the near term.

FII/DII Flows: Contrasting Moves
In the cash segment:
FIIs (Foreign Institutional Investors) were net sellers, offloading stocks worth Rs 2,539.42 crore.
DIIs (Domestic Institutional Investors) were net buyers, purchasing shares worth Rs 5,780.96 crore.

Global Market Snapshot: Wall Street Ends Higher
US markets began the week on a strong note, with all three key indices closing higher on Monday amid easing geopolitical concerns in the Middle East and falling oil prices.
Dow Jones: +317.30 pts (0.75%) at 42,515.09
S&P 500: +0.94% at 6,033.11
Nasdaq: +1.52% at 19,701.21

“Wall Street kicked off the week on a strong note with all three major U.S. indices ending Monday in the green,” said Shah. “The S&P 500 continues to exhibit strength, trading comfortably above its key moving averages—a sign of a sustained bullish trend.”

He added that S&P 500’s immediate hurdle lies at 6,050–6,070, while support is placed at 5,950–5,930 (20-day EMA).

Crude and Currency Markets: Pullback in Oil Prices
Brent Crude: Fell nearly 3%, closing at $71.70 after surging to $76.98 earlier in the session.
Resistance: $75.50–75.80
Support: $72.50–72.20
US Dollar Index (DXY): Ended flat. Shah noted that the index remains bearish and may move toward 97, with resistance at 98.50–98.70.

Asia-Pacific Markets: Cautious Optimism
Asian markets were broadly higher on Tuesday as investors remained hopeful about a diplomatic resolution to the Israel-Iran tensions.
Japan’s Nikkei 225: +0.47%
Topix: +0.17%
Kospi (South Korea): +1.07%
Kosdaq: +0.71%
Hong Kong’s Hang Seng: +0.12%
Australia’s ASX 200: +0.12%
China’s CSI 300: Flat

Investor focus is now on the Bank of Japan's policy decision, with expectations of no change to its current 0.5% interest rate amid global economic uncertainty.

Markets Face Key Test Ahead
Despite Monday’s euphoric rally, today's session may test investor sentiment, especially if Nifty and Sensex fail to hold above their immediate support zones. With a mixed global backdrop, subdued Gift Nifty cues, and cautious institutional flows, traders are advised to watch key levels closely in this volatile landscape.

Disclaimer

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