Indian equity indices ended on a negative note in the volatile session on March 3. At close, the Sensex was down 112.16 points or 0.15 percent at 73,085.94, and the Nifty was down 5.40 points or 0.02 percent at 22,119.30. Bharat Electronics, Eicher Motors, Grasim Industries, BPCL, and JSW Steel were among the major gainers on the Nifty. At the same time, losers included Coal India, Reliance Industries, Bajaj Finserv, HDFC Bank, and Bajaj Auto.
The BSE Midcap index rose 0.25 percent, while the small-cap index fell 0.7 percent.
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The Nifty index saw a brief uptick before slipping lower in the first half, almost testing the 22,000-support level and eventually settling at 22,119.30. Sectoral performance was mixed, with realty, metal, and IT showing a rebound, while weakness in banking and financials capped gains. Broader indices also remained choppy and closed largely unchanged.
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Global uncertainties and sustained foreign fund outflows continue to keep market participants cautious. With the 21,800-22,000-support zone in focus, a cautious approach to the Nifty index is advisable until further clarity emerges. Banking sector performance will be crucial in the coming sessions, making it an important area to monitor for market cues.
Meanwhile, with stock-specific opportunities present, traders should emphasize strategic selection and effective trade management. Nagaraj Shetti, Senior Technical Research Analyst at HDFC Securities, observed that Nifty consolidated with a weak bias on Monday and closed lower by 5 points.
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Sensex and Nifty end mixed
After opening on a negative note, the market slipped further but saw an upside recovery from mid-session to close the day off the lows. Vinod Nair, Head of Research at Geojit Financial Services, indicated that the market experienced a gradual recovery driven by improving economic growth, a rebound in consumption expenditure, and healthy agricultural sector expansion, influencing investor sentiment. With valuations approaching oversold levels, domestic indicators suggest the potential for a rebound, though global trade uncertainties continue to loom.
Vatsal Bhuva, Technical Analyst at LKP Securities, noted that Nifty found support around 22,000 and managed to close above the crucial 38.2% Fibonacci retracement level of 22,043. The RSI remains in a highly oversold zone at 22 on the daily chart, indicating a possible short-term rebound towards the 400-day EMA at 22,475. However, the broader trend remains bearish, favoring a sell-on-rise approach unless Nifty decisively closes above 22,600.
Dilip Parmar, Research Analyst at HDFC Securities, highlighted that the Indian rupee strengthened as the market stabilized following the RBI’s USDINR swap. The rise in foreign exchange reserves and the weakening of the US dollar against major currencies further supported the rupee’s performance. In the short term, the spot USDINR is anticipated to trade within a range of 87.96 to 86.42, indicating a period of consolidation.
The Indian rupee ended 15 paise higher at 87.36 per dollar on Monday compared to Friday’s close of 87.51. In international news, European markets traded higher, with Germany’s DAX index rising 0.7 percent. In corporate developments, Tips Music and Sony Music Publishing announced their successful global publishing partnership expansion by adding YouTube as a key platform for international publishing exploitation of Tips Music’s vast catalog.
Brokerage calls reflected mixed sentiments. Morgan Stanley maintained an overweight call on IGI, with a target price of Rs 617. Meanwhile, Jefferies maintained a ‘buy’ rating on Polycab India but cut its target price to Rs 6,485 from Rs 7,700, citing the impact of new competition.
