Indian benchmark indices closed robustly on Tuesday, propelled by comments from U.S. President Donald Trump regarding negotiations with Iran and a temporary halt in strikes on the country’s energy infrastructure. This development buoyed market sentiment, fostering broad-based buying across various sectors, particularly in banking, automotive, and IT stocks.
The Nifty 50 rose by 399.75 points, equivalent to 1.78%, finishing at 22,912.40. Meanwhile, the 30-share BSE Sensex surged by 1,372.06 points, or 1.89%, to end at 74,068.45. However, despite these gains, Rupak De, Senior Technical Analyst at LKP Securities, noted that the Nifty concluded the session with an indecisive candle, signifying uncertainty about future market direction. “The Nifty began on a positive note in light of potential de-escalation in the Middle East conflict. Although the index surged, it faced resistance near 23,000, where significant call writer positions are present. The market’s trajectory may hinge on Wednesday’s opening. A negative opening could instill bearish sentiment, while a positive start might indicate optimism in the short term,” De explained.
Pre-market actions suggested further momentum, with GIFT Nifty showing signs of a gap-up start. Trading at 23,157.50, GIFT Nifty climbed by 228.5 points, or 1%, signaling that Dalal Street was poised for a positive opening on Wednesday.
In terms of technical analysis, Nagaraj Shetti, Senior Technical Research Analyst at HDFC Securities, reflected on the charts, highlighting a small bullish candle with a noticeable upper and long lower shadow. This market movement reflects a significant bounce back amid high volatility. However, the continuing negative chart pattern of lower tops and bottoms suggests that the current upward trend might create a new lower top that requires confirmation at higher levels.
The India VIX, a volatility measure, fell by 7.44% to settle at 24.74, indicating reduced market fear. As for Asian markets, equities gained ground while oil prices dropped, amid increased optimism surrounding the resolution of the ongoing Middle East conflict. The dollar also diminished slightly, with S&P 500 futures rising by 0.6% as of 9:02 a.m. Tokyo time. Japan’s Topix gained 1.6%, and Australia’s S&P/ASX 200 rose by 1.4%.
In contrast, Wall Street suffered a setback, with major indexes closing lower. The Dow dipped by 0.18%, while the S&P 500 and Nasdaq fell by 0.37% and 0.84%, respectively. This drop occurred amid investor concerns about rising oil prices and the complexities of the U.S.-Israeli conflict with Iran, despite Trump’s claim of progress in negotiations and reports of additional troop deployments to the region.
Oil prices retreated by over 5% ahead of potential ceasefire negotiations, which could alleviate supply disruptions from this crucial region. The dollar showed signs of weakness as traders remained cautious about Trump’s diplomatic initiatives.
On the commodity front, gold saw a rise of more than 2%, powered by a weaker dollar and easing inflation fears due to falling oil prices.
Foreign institutional investors (FIIs) sold Indian equities worth Rs 8,009.56 crore on Tuesday, while domestic institutional investors (DIIs) purchased shares totaling Rs 5,867.15 crore.
The Indian rupee ended a three-day slide, appreciating by 0.1% to close at 93.8650, following mixed signals regarding potential resolutions in the Middle East.
This coverage, while informative, reflects the dynamic landscape of financial markets, influenced by global events and sentiment shifts. (Inputs from agencies)
Original Source: https://m.economictimes.com/markets/stocks/news/pre-market-action-heres-the-trade-setup-for-todays-session/articleshow/129782385.cms
Category :
Tags:
Publish Date: 2026-03-25 06:01:00
