Market Loses Momentum To End Flat

The Indian stock market took a pause in the Tuesday trading session after the winning streaks. Benchmark indices along with sectoral indices ended with marginal gains. 

The National Stock Exchange (NSE) Nifty 50 index ended flat at 25,017, and the S&P Bombay Stock Exchange (BSE) Sensex also settled merely 13 points higher at 81,711 levels on the closing bell. 

Nifty Moves

In the Nifty 50 index, 21 stocks advanced in the positive territory, while 29 stocks ended in the red territory.

Among the winners SBI Life led with 2.38 per cent gain, followed by more than 2 per cent gain in Shriram Finance and Maruti. Bajaj Finserv, HDFC Life, Larsen and Toubro, Infosys, Bajaj Finance and ICICI Bank ended more than 1 per cent higher. 

Among the losers, Titan lost more than 2 per cent, while JSW Steel, Hindalco and Tata Motors shredded significantly. 

Analyst Note  

“Trading session lacked momentum due to weak investor participation on account of Janmastami, and ended almost unchanged from its previous close. Weak US market cues and subdued Asian indices prompted local investors to book profit towards the fag-end, indicating that intraday volatility will continue amid growing geopolitical tensions and sluggish global growth,” said Prashanth Tapse, Senior VP (Research), Mehta Equities.

“The sentiment has entered an indecisive phase as the Nifty closed with a Doji pattern on the daily chart. The significant presence of both call and put option writers at the 25,000-strike price strengthens the technical setup. As a result, the Nifty is likely to remain range-bound or might experience a slight dip in the near term. On the lower end, 24,800 could act as immediate support, while a rise above 25,100 might push the Nifty towards 25,300,” said Rupak De, Senior Technical Analyst, LKP Securities.

Sectoral Movement

In terms of sectoral performance, Nifty Bank ended 0.26 per cent higher and Financial Services gained 0.82 per cent, while PSU Banks ended with negligible gain.

IT, Realty and Auto fluctuated marginally, while Metal and Pharma shredded 0.61 per cent and 1.06 per cent respectively.

The more domestically focussed indices, Mid-cap gained 0.49 per cent, whereas Small-cap climbed more than 1 per cent.