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Sensex, Nifty End Lower in Volatile Trade; IT, Realty Drag

Indian equity benchmarks ended lower on Wednesday following a volatile trading session, weighed down by losses in IT and realty stocks. Broader markets, however, showed resilience as midcap and smallcap indices closed in the green. Sectoral performance was mixed with metals and PSU banks gaining sharply, while IT faced significant selling pressure. Analysts noted that the market remains cautious due to global uncertainties and key technical resistance levels.

Key Points: Sensex, Nifty Fall Amid Volatility; IT, Realty Stocks Weigh

  • Sensex fell 245 points
  • Nifty closed below 25,700
  • IT and realty sectors under pressure
  • Metals and PSU banks outperformed
  • Markets closed Thursday for elections
2 min read

Sensex, Nifty end lower after volatile session

Indian markets closed lower after a volatile session. IT and realty stocks declined, while metals and PSU banks gained. Analysts highlight key resistance and support levels.

"repeated rejection near the 25,900 zone continues to cap upside - market watchers"

Mumbai, Jan 14

Indian stock markets ended lower on Wednesday after a highly volatile trading session, as losses in IT and realty stocks weighed on investor sentiment.

Rising geopolitical tensions and uncertainty surrounding the US-India trade deal also capped any meaningful recovery during the day.

The Sensex slipped 0.29 per cent, or 244.98 points, to close at 83,382.71, while the Nifty ended 0.26 per cent, or 66.70 points, lower at 25,665.60.

"From a derivatives perspective, Nifty options data showed maximum call open interest at the 26,000 and 25,800 strikes, highlighting strong resistance levels," an analyst said.

"On the downside, maximum put open interest at the 25,700 and 25,600 strikes suggests immediate support zones," the analyst stated.

Market participants were also cautious ahead of a trading holiday. Both the National Stock Exchange of India and the Bombay Stock Exchange will remain closed on Thursday (January 15) due to municipal corporation elections in Maharashtra.

On the Sensex, shares of Tata Steel, NTPC and Axis Bank ended as the top gainers, supported by buying interest in metal and banking stocks.

In contrast, Asian Paints, TCS and Maruti Suzuki dragged the index down. A similar trend was seen on the Nifty, where Tata Steel, NTPC and Axis Bank advanced, while Asian Paints, TCS and Tata Consumer Products were among the top losers.

Broader markets performed better than the frontline indices. The Nifty SmallCap 100 index rose 0.67 per cent, while the Nifty MidCap 100 index settled 0.29 per cent higher.

On the sectoral front, IT and realty stocks faced selling pressure, with the Nifty IT index falling 1.08 per cent and the Nifty Realty index declining 0.92 per cent.

Meanwhile, metal and PSU bank stocks outperformed the market, with the Nifty Metal index jumping 2.70 per cent and the Nifty PSU Bank index rising 2.13 per cent.

Analysts said that the market remained cautious amid global uncertainties, even as strength in broader markets and select sectors helped limit deeper losses.

Commenting on Nifty technical outlook, market watchers stated that repeated rejection near the 25,900 zone continues to cap upside, with immediate resistance now placed around 25,800.

"On the downside, a decisive break below 25,600 could open the door for further weakness toward 25,500-25,450," they added.

- IANS

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Reader Comments

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Priya S
The global situation is definitely causing some nervousness. The US action in Venezuela is a reminder that geopolitics can hit our markets anytime. Good to see defensive stocks like HUL holding up. Time to be cautious and maybe add some gold to the portfolio.
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Aman W
IT stocks down again? Seems like the sector is losing its shine. Maybe the big money is moving to manufacturing and infrastructure plays. Realty index up 2% is interesting – is the housing boom finally reflecting in stocks?
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Sarah B
As a new investor, this volatility is scary! One day record high, next day down. Articles like this are helpful to understand the reasons – profit booking, global cues. Focusing on the upcoming Q3 earnings makes sense.
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Vikram M
Respectfully, these analyst quotes about resistance and support levels are so generic. "If it goes up, it might go up more. If it goes down, it might go down more." 😅 The real insight is in the sectoral moves. FMCG and realty holding up tells you where the smart money is looking for safety.
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Karthik V
Smallcap index down more than midcap and Nifty. That's the worry. Retail investors like me are heavy in smallcaps. Hope this isn't the start of a bigger correction there. Might shift some funds to the gainers like Tata Steel for stability.

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