Technical analysts suggested the market remains in a consolidation phase despite Monday’s sharp recovery. 
| Photo Credit:
istock.com

Markets opened on a tepid note on Tuesday morning, failing to sustain initial gains as profit booking at higher levels pulled benchmark indices into negative territory. The Nifty 50 opened at 25,897.35 but slipped to 25,712.90 by 10.00 am, down 77.35 points or 0.30 per cent from its previous close of 25,790.25. The Sensex followed a similar trajectory, opening at 84,079.32 before retreating to 83,608.68, down 269.49 points or 0.32 per cent from Monday’s close of 83,878.17.

“Indian equity markets are set to open on a steady to mildly positive note on Tuesday, extending yesterday’s sharp rebound from intraday lows,” said Ponmudi R, CEO of Enrich Money. “However, the broader undertone stays cautious as volatility has picked up amid renewed tariff-related concerns and rising geopolitical tensions in the Middle East.”

The morning session witnessed divergent sectoral performance, with metal stocks leading the gainers while information technology counters faced selling pressure following mixed quarterly results from sector heavyweights. Among individual Nifty 50 constituents, Eternal emerged as the top gainer, surging 2.77 per cent to ₹293.15, followed by ONGC which gained 2.02 per cent to ₹240.47. Hindalco added 1.20 per cent to ₹931.15, while State Bank of India rose 0.81 per cent to ₹1,023.40. Tech Mahindra rounded out the top five gainers with a 0.79 per cent increase to ₹1,598.70.

On the losing side, Larsen & Toubro led the decliners, falling 2.31 per cent to ₹3,926.00. HCL Technologies dropped 1.94 per cent to ₹1,635.30, while Dr Reddy’s Laboratories declined 1.54 per cent to ₹1,196.80. Reliance Industries slipped 1.44 per cent to ₹1,461.90, and Trent shed 1.39 per cent to ₹4,000.20.

“Geopolitical developments and President Trump’s comments and actions will continue to influence markets,” noted Dr VK Vijayakumar, Chief Investment Strategist at Geojit Investments Limited. “Trump’s weaponisation of tariffs have already impacted global trade and particularly countries which have been targeted with penal tariffs.”

Technical analysts suggested the market remains in a consolidation phase despite Monday’s sharp recovery. “The Nifty 50 staged a measured recovery with a gap-up opening after the recent corrective phase, but failed to sustain momentum as profit booking at higher levels pulled the index back into the red,” explained Ponmudi R. “The 50-day EMA at around 25,895 now acts as an immediate intraday resistance, and a sustained reclaim of this level will be critical to restore upside momentum.”

Shrikant Chouhan, Head Equity Research at Kotak Securities, outlined key support and resistance levels for traders. “On the downside, 25,650/83,500 and 25,600/83,300 would act as key support zones, while 25,900-25,950/84,300-84,500 could serve as immediate resistance areas for the bulls,” he said. “However, below 25,600/83,300, sentiment could change.”

Global cues provided mixed signals to domestic markets. Devarsh Vakil, Head of Prime Research at HDFC Securities, highlighted international developments affecting sentiment. “The S&P 500 and Dow registered record closing highs on Monday as technology stocks and Walmart gained, with investors largely dismissing concerns about the Justice Department’s criminal investigation of Federal Reserve Chair Jerome Powell,” he said. “The Nifty 50 broke its five-day losing streak, climbing 106 points to close at 25,790.”

Commodity markets witnessed significant action, with bullion prices hitting fresh lifetime highs. Rahul Kalantri, VP Commodities at Mehta Equities Ltd, noted, “Gold and silver surged sharply on Monday as uncertainty over the Federal Reserve’s outlook combined with rising geopolitical tensions in Iran.” He added that crude oil prices remained volatile with support at $58.70-57.80 and resistance at $60.20-60.90.

“From the Indian market perspective, the necessity of a US-India trade agreement was evident yesterday when the market bounced back sharply,” said Dr Vijayakumar, pointing to expectations that trade negotiations would resume on January 13. Market participants remained focused on December-quarter earnings, particularly from the IT sector, which could drive stock-specific action through the session.

More Like This

Published on January 13, 2026