Indian stocks are expected to open flat with a downward bias amid ongoing geopolitical tensions. The Gift Nifty suggests a muted start to the day.
Hariprasad K, a SEBI-registered Research Analyst and Founder of Livelong Wealth, indicated that the broader market sentiment remains delicate, largely influenced by persistent geopolitical uncertainties. While the S&P 500 reached an intraday record high, it failed to sustain those gains, closing lower with noticeable selling pressure in technology stocks. This selling trend hints that investors are becoming hesitant to pursue high valuations amidst unresolved geopolitical risks.
Ongoing developments in West Asia are continuing to affect market psychology. Though a ceasefire between Israel and Lebanon has been extended for three weeks, facilitated by diplomatic efforts involving former President Donald Trump, this is perceived as a temporary reprieve rather than a lasting solution.
Ponmudi R, CEO of Enrich Money, a SEBI-registered online trading and wealth tech firm, stated that Indian equity markets are likely to adopt a cautious stance due to ongoing geopolitical uncertainties. The lack of significant progress in U.S.–Iran negotiations is a significant concern that keeps investor confidence low.
He pointed out that crude oil prices remain elevated above $100 per barrel, driven by supply disruptions and rising tensions in the Strait of Hormuz, contributing to macroeconomic apprehensions. Global markets are mixed to negative, with Asian equities under strain due to surging oil prices and heightened geopolitical risks.
Foreign institutional investors are displaying caution, with notable outflows in recent periods reflecting concerns regarding valuations, high crude prices, and currency depreciation. The weakening of the IT and financial sectors has affected broader indices, while defensive sectors such as FMCG and pharmaceuticals have shown resilience. Overall, market sentiment remains fragile and highly reactive to news, with short-term direction likely influenced by geopolitical developments and crude oil price movements.
From a derivatives perspective, Dhupesh Dhameja, a Derivatives Research Analyst at SAMCO Securities, remarked that the put-call ratio (PCR) is close to 0.89, signaling a slightly cautious market tone. He noted that option data indicates call writing is concentrated around the 56,500–57,000 range, which is capping potential upside, whereas put writing in the 56,000–56,500 range provides immediate support, establishing a defined trading range.
The index is currently consolidating within a range following a sharp recovery. Sustaining within key support and resistance levels favors a range trading strategy, although a decisive move above 57,200 is necessary to rekindle strong bullish momentum.
Published on April 24, 2026.
