The index opened 168 points lower amid concerns over escalating geopolitical tensions in West Asia. However, buying emerged near the 24,000 mark, helping the benchmark rebound more than 250 points from the day’s low and erase all intraday losses.
Market participants largely shrugged off geopolitical concerns, with the resilience indicating that investors remain focused on domestic fundamentals and the ongoing earnings season.
Among the Nifty constituents, TCS, HCLTech and Tech Mahindra led the gains, while Grasim Industries, Tata Steel and Nestle India ended among the top losers.
Sectoral trends were mixed. Information Technology, Media and Auto stocks outperformed, whereas FMCG, Metal and Healthcare stocks ended lower.
The broader market also recovered from intraday lows, with both the midcap and smallcap indices closing marginally higher.
What to watch next
According to Siddhartha Khemka of Motilal Oswal, Indian equities are likely to remain on a gradual upward trajectory, with the ongoing Q1FY27 earnings season expected to drive sector- and stock-specific moves.
However, geopolitical developments in West Asia could keep market volatility elevated.
More than 140 companies are scheduled to announce their June quarter results this week, including heavyweights such as Reliance Industries, HDFC Bank, ICICI Bank, Axis Bank, Kotak Mahindra Bank, HCLTech, Wipro, Tech Mahindra, Jio Financial Services and JSW Steel, together accounting for over 31% of the Nifty 50’s weight.
Investors will also track key domestic macroeconomic data, including June CPI and WPI inflation, followed by unemployment, trade balance and foreign exchange reserves later in the week. Activity in the primary market is also expected to remain strong, with three IPOs collectively aiming to raise nearly ₹10,100 crore.
Technical outlook
Nagaraj Shetti of HDFC Securities said the Nifty continues to trade within the 23,800-24,500 range. After rebounding from support, the index has the potential to move towards the upper end of the range at 24,500, while 24,000 remains immediate support.
Nilesh Jain of Centrum Finverse said the benchmark found support near its 100-day moving average (100-DMA) at 24,000 and has now closed above 24,200 for the second consecutive session.
He believes the broader technical structure remains constructive, with 24,500 emerging as the next upside target as long as the index holds above 24,000.
Hitesh Rathi of Angel One advised investors against chasing the rally unless the Nifty decisively closes above 24,300. He identified 24,300 as the immediate resistance, citing the presence of an overhead bearish gap and last week’s swing high. On the downside, the 24,050-24,000 zone remains the first support area, followed by stronger support at 23,850-23,800.
Echoing a similar view, Nandish Shah of HDFC Securities said the Nifty continues to remain in a consolidation phase despite Monday’s rebound.
He expects 24,300 to act as the immediate hurdle, while 24,000 remains a key support. A breakout above 24,300 could pave the way for a move towards 24,530, whereas a fall below 24,000 may trigger a decline towards 23,800.
Bank Nifty outlook
The Bank Nifty also recovered sharply after finding support near 57,500 and ended the session 0.15% higher at 58,131.
According to Sudeep Shah of SBI Securities, the 58,600-58,700 zone is the next major resistance. A sustained move above 58,700 could open the door for gains towards 59,400, followed by the psychologically important 60,000 level. On the downside, 57,600-57,500 remains the key support area, and the broader trend is expected to stay positive as long as the index trades above this zone.
