Markets opened slightly lower on Thursday morning, with the Nifty 50 trading at 25,034.50, down from its previous close of 25,056.90. By 9:41 am, it had risen marginally to 25,065.75, an increase of 8.85 points or 0.04 percent. The Sensex started at 81,574.31 compared to its prior close of 81,715.63 and climbed to 81,777.44, up 61.81 points or 0.08 percent, recovering from initial weakness.
Market sentiment appeared cautious as the Nifty struggles near the critical psychological mark of 25,000. According to Hariprasad K, a SEBI-registered Research Analyst and the Founder of Livelong Wealth, “Gift Nifty signals a mildly bearish start today, echoing overnight weakness in US markets where equities slipped after mixed commentary from Federal Reserve officials on interest rates dampened expectations of two more rate cuts this year.”
The benchmark index has faced ongoing selling pressure, closing lower for five consecutive sessions leading up to Wednesday. Analysts note that a slip below 25,000 could lead to further corrections toward levels around 24,900 and 24,800, with resistance anticipated in the range of 25,150 to 25,250.
Among the top gainers on the Nifty 50, Bharat Electronics Limited (BEL) led with a gain of 1.85 percent, reaching ₹402.75. Oil and Natural Gas Corporation (ONGC) saw a rise of 1.29 percent to ₹241.59, while Hindalco Industries climbed 1.25 percent to ₹750.30. Apollo Hospitals and Nestle India also saw increases, gaining 0.78 percent to ₹7,703.00 and 0.68 percent to ₹1,186.60, respectively.
On the downside, Tata Motors fell 1.79 percent to ₹670.70. Other notable declines included Asian Paints, down 1.08 percent to ₹2,430.60, and Titan Company, which dropped 0.97 percent to ₹3,385.00. Selling pressure was also observed in Maruti Suzuki and Eicher Motors, which declined by 0.68 percent and 0.67 percent, respectively.
Foreign institutional investors (FIIs) continued to offload equities, selling a total of ₹2,458.45 crore on Wednesday. Domestic institutional investors (DIIs), however, provided some support with net inflows of ₹1,244.02 crore. Hariprasad K noted that “FIIs were net sellers at ₹2,458.45 crore, while DIIs lent support with ₹1,244.02 crore in inflows.”
Despite the challenges, Ponmudi R, CEO of Enrich Money, stated, “India’s markets remain supported by improving fundamentals, but global factors like US interest rates, a strong dollar, and geopolitical tensions continue to sway sentiment.” Market concerns are heightened by the rupee’s weakness, which has recently hovered around the 88.5 levels against the dollar.
The Bank Nifty displayed mixed signals, with analysts suggesting a cautiously positive outlook as long as it remains above 55,000. Ponmudi R observed, “The Bank Nifty shows a cautiously positive undertone as long as it holds above 55,000, but repeated failures to clear resistance at 55,250–55,400 may invite profit-taking.”
The automotive sector has shown some resilience despite broader market weakness. Dr. VK Vijayakumar, Chief Investment Strategist at Geojit Investments Limited, remarked that “Auto stocks have been bullish, partly discounting the potential earnings growth of the industry.” However, Tata Motors faced headwinds following reports of a cyberattack that led to a shutdown at Jaguar Land Rover.
Market technicals suggest a cautious approach, with momentum indicators indicating neutral sentiment. The 14-day Relative Strength Index (RSI) stood at 52.17, slipping below its 14-day Simple Moving Average (SMA), which points to a neutral market sentiment. Futures and options data revealed a fresh short build-up, with Nifty futures open interest rising from 1.44 crore to 1.50 crore.
In light of the heightened volatility and mixed global cues, Amruta Shinde, Technical and Derivative Analyst at Choice Equity Broking, recommended a cautious buy-on-dips strategy. She advised traders to consider partial profit bookings on rallies and to maintain tight stop-losses.
Broader market underperformance compared to global peers remains a concern, as the Nifty is down 3.6 percent year-on-year, while the Hang Seng and Kospi have risen by 38.6 percent and 33.73 percent, respectively. Dr. VK Vijayakumar attributed this discrepancy to sustained FII selling.
Looking ahead, immediate resistance for the Nifty is expected at levels between 25,100 and 25,250, with support anticipated around 25,000 and 24,900. Dr. VK Vijayakumar concluded, “This is the right time for investors to continue accumulating high-quality stocks. Patience is the key,” advocating a long-term perspective despite short-term volatility.
Published on September 25, 2025.
