On Tuesday, the stock market experienced a day of mixed performances, with 146 stocks reaching their 52-week lows. Notable names included AU Small Finance Bank, Colgate Palmolive (India), Hero MotoCorp, LTIMindtree, and Titan Company. In contrast, 71 stocks managed to hit 52-week highs, featuring Bajaj Finance, Kotak Mahindra Bank, JSW Steel, and Shree Cement among them.
Market Overview
The domestic benchmarks, Nifty 50 and Sensex, concluded the trading session with minimal changes, following a robust six-day surge that had previously erased their losses for 2025. This stagnation came amid rising concerns regarding potential US reciprocal import tariffs. The Nifty 50 edged up by 0.04%, closing at 23,668.65, while the Sensex mirrored this movement, also advancing 0.04% to finish at 78,017.19. During the session, the indices fluctuated, showing a high increase of 0.9% and a dip of 0.25%.
- Smallcaps fell by 1.6%
- Midcaps dropped by 1.1%
This decline broke a six-day winning streak for both segments.
IT Sector Resilience
Despite the overall flat close, the IT sector stood out, contributing positively to market sentiment. The Nifty NEXT 50 index slid by 1.47%, closing at 62,703.75. Analysts suggest that while market momentum appears to be building, the sustainability of this rally is in doubt due to ongoing global economic uncertainties.
Vinod Nair, Head of Research at Geojit Investments, commented on the market’s performance, noting that profit-taking was evident, particularly in small and mid-cap stocks, which are maintaining premium valuations. Conversely, the IT sector benefitted from favorable global cues, driven by hopes for lower tariffs and recent valuation adjustments. Nair emphasized that investor sentiment is likely to remain cautious as they await clearer insights into the trade dynamics between the US and India.
Nifty 50 Technical Analysis
Rupak De, a Senior Technical Analyst at LKP Securities, highlighted that the Nifty 50 encountered resistance at a prior swing high, leading to a somewhat volatile trading day. He pointed out that support is established around 23,300, a significant congestion level, with the 100-EMA also positioned nearby.
- Immediate support: 23,600
- Key resistance: 23,800
As long as the Nifty 50 remains above 23,300, a consolidation phase is expected within the broader range of 23,300 to 23,800. A decisive drop below 23,600 could push the index down towards 23,300, while a breakout above 23,800 may reignite the rally.
For more insights on market trends, consider checking out our analysis on market volatility and investment strategies.
