Mumbai: Indian equity benchmarks closed slightly lower on Tuesday after a volatile trading session marked by profit booking and cautious investor sentiment. The Sensex slipped 150.68 points, or 0.18 percent, to close at 84,628.16, while the Nifty declined 29.85 points, or 0.11 percent, to 25,936.20. Broader markets saw muted movement, with the Nifty MidCap index edging down 0.02 percent, and the SmallCap index rising 0.02 percent.
Profit Booking and Weak Global Cues Weigh on Indices
Market participants attributed the weakness to profit booking after recent highs, particularly in technology, energy, and financial stocks. Global market cues also turned slightly negative, prompting investors to reduce exposure.
'The domestic market remained volatile and largely range-bound due to monthly expiry and weak global sentiment,' experts said. 'However, selective buying at lower levels showed investors remain confident about India’s economic resilience.'
Sectoral Performance: Metals and PSU Banks Lead
Among sectoral indices, Nifty Metal and Nifty PSU Bank gained over 1 percent each, supported by optimism over infrastructure and capital expenditure growth. In contrast, Nifty Realty was the biggest laggard, followed by IT, FMCG, Pharma, and Energy, all of which closed in the red.
Within the Sensex pack, Trent, Tech Mahindra, Bajaj Finserv, HCL Tech, Mahindra & Mahindra, and Bajaj Finance were the top losers. Meanwhile, Tata Steel, L&T, SBI, Tata Motors, and Kotak Mahindra Bank limited the market’s downside.
Technical Outlook: Momentum Intact Above 26,000
Analysts noted that the broader market trend remains bullish. 'The Nifty continues to trade above the 21-day EMA, keeping the short-term trend positive. A move above 26,000 could trigger a renewed rally,' they said.
On the upside, resistance is seen near 26,300, while support lies at 25,850. The RSI indicator continues to show a bullish crossover, suggesting potential strength ahead despite near-term volatility.
Outlook: Optimism Persists Despite Near-Term Volatility
Experts believe that easing global trade tensions and expectations of improved corporate earnings could support Indian equities in the coming sessions. 'While near-term consolidation may continue, the market’s structural strength remains intact,' analysts added.
