Indian equity markets ended slightly lower on Tuesday as investors engaged in profit booking ahead of the monthly derivatives expiry, while weak global cues added to caution. The S&P BSE Sensex slipped 75.11 points to close at 84,703.73, and the NSE Nifty50 declined 29.85 points to settle at 25,936.20. Market volatility persisted through the session, though selective buying in metals and PSU banks helped cushion broader losses.
According to Vinod Nair, Head of Research at Geojit Financial Services, the decline was largely driven by short-term profit booking and global uncertainty. However, he noted that the overall sentiment remained resilient, supported by positive developments in specific sectors. Nair highlighted that metal stocks gained after China announced measures to curb steel overcapacity and amid hopes of progress in US-China trade relations. PSU banks also outperformed on reports suggesting a possible hike in foreign institutional investor holding limits.
Technical analysts maintained that the broader market uptrend remains intact. Rupak De, Senior Technical Analyst at LKP Securities, pointed out that the Nifty continues to trade above its 21-day exponential moving average, signaling ongoing bullish momentum. He added that the index’s relative strength indicator (RSI) remains in a positive crossover zone. A breakout above the 26,000 mark could drive the index toward 26,300, while immediate support lies near 25,850.
The session saw a notable rebound in the final half hour, allowing key indices to trim earlier losses. Ponmudi R, CEO of Enrich Money, observed that traders were cautious ahead of the U.S. Federal Reserve’s policy announcement. The Nifty oscillated within a narrow range of 25,800 to 26,000 for most of the day, with buying interest concentrated in metal and select banking stocks. IT, FMCG, and real estate counters faced mild selling pressure. The late recovery, he said, reflected underlying strength as markets transition into the November derivatives series.
With the expiry now behind, analysts expect volatility to ease in the coming sessions. They project that a sustained move above 26,000, backed by strong volumes, could lift the Nifty toward 26,150–26,250 levels. Conversely, a break below 25,800 could trigger short-term weakness toward 25,700–25,500.
The Bank Nifty outperformed broader indices, ending 156 points higher at 58,270. Analysts noted that as long as the index holds above its 58,000–57,800 support range, momentum could extend toward 58,800–59,000, driven by renewed strength in public sector and private banking names. Overall, despite minor corrections, the underlying trend across major indices remains bullish heading into the next series.
