New Delhi: Domestic stock markets are witnessing mixed trends as Foreign Institutional Investors (FIIs) continue to sell shares, while Domestic Institutional Investors (DIIs) are stepping in with strong buying support.
For the week ending February 20, FIIs sold shares worth nearly Rs 7,000 crore in the cash market. The biggest outflow came on February 13, when they pulled out about Rs 7,395 crore during a volatile trading session.
However, DIIs balanced the pressure by investing over Rs 8,000 crore during the same period. Strong buying by domestic funds on February 13 and 16 helped reduce the impact of foreign selling. Analysts say steady domestic inflows are currently acting as a safety net for the markets.
Nifty and Sensex Show Mixed Movement
Benchmark indices faced pressure during the week. The Nifty closed around 25,454 on February 19, down 1.41 per cent, mainly due to global tensions and weakness in sectors like IT, financial services and automobiles.
A mild recovery was seen on February 20, with Nifty moving close to 25,600 due to selective buying in certain stocks.
Meanwhile, Sensex recovered from the 82,000–82,500 zone and managed to close in positive territory. Market experts say strong support for Sensex is placed between 82,000 and 81,800. On the upside, resistance is expected near 83,500–84,000.
Global Trade Concerns Add Uncertainty
Global developments are also influencing market mood. The US Supreme Court recently struck down earlier broad “reciprocal” tariffs under IEEPA. For India, this limits tariff exposure to 15 per cent for now and resets the interim trade arrangement between the two countries.
Although this reduces immediate pressure, uncertainty remains. Sectors such as textiles, pharmaceuticals, gems and machinery could see short-term impact. Comments by US President Donald Trump about exploring other legal options for tariffs have added to investor caution.
What Investors Should Watch?
Experts believe markets may remain volatile in the near term. Nifty has strong support near 25,300 and resistance around 25,700. Analysts suggest a cautious “sell-on-rise” strategy until a clear upward trend is confirmed. Investors are advised to track global news and upcoming earnings closely.
