Domestic markets are likely to see a flat opening on Wednesday amid mixed global cues. Gift Nifty at 25,755 indicates a marginal decline at opening.
Hariprasad K, Research Analyst and Founder – Livelong Wealth, said: Following two modestly bullish sessions, the index may attempt to extend its short-term upward momentum, provided early gains are sustained. As the market approaches higher levels, traders are expected to remain selective, with a focus on stock-specific opportunities rather than broad-based buying. Sustained strength will be key to maintaining the positive bias, while any failure to hold early gains could trigger consolidation.
“IT stocks are likely to remain in sharp focus as the sector has been under sustained pressure over the past week amid concerns around AI-driven disruption to traditional IT services models,” he added.
Analysts expect the market to remain volatile. However, Q3 results were better than expected, said analysts.
Emkay Global Research said the positive 3QFY26 earnings trend reinforces their positive stance on Indian equities. Despite the labour code hit, the BSE-500 delivered 16% PAT growth, outperforming the Nifty 50 (8%).
“We remain bullish on Indian equities, with the announcement of the India-US trade deal marking an inflection point for the markets. We maintain a Nifty target at 29,000 for Dec-26E, with SMID lenders, new-age/ internet companies, and discretionary consumption being our favoured themes,” it added.
According to WhiteOak Capital Mutual Fund, its in-house model — Market Valuation Index — has moved down to 99 in January 2026 from 100.5 in December 2025. Market Valuation Index utilises primary fundamental indicators such as Price to Book (P/B) Value adjusted for Return on Equity (ROE), Ratio of Government Bond Yield to Earning Yield. It also incorporates an overlay of Volatility Index (VIX) and a ‘Hold Philosophy’ to account for volatility and the strength of the trend, respectively.
As of 31st January 2026, the net equity level of WhiteOak Capital Balance Advantage Fund has increased from 59.2% in December 2025 to 65.89% in January 2026, it said.
Meanwhile, Asian stocks were up in early deals on Wednesday.
Published on February 18, 2026
