Indian benchmark indices ended marginally lower on Monday, halting a two-session rally, as subdued global sentiment and profit booking at elevated valuations weighed on investor confidence. Market participants remained on edge amid resurfacing US-China trade tensions, despite tentative signs of stability in overseas markets. Risk sentiment took a hit after US President Donald Trump imposed a 100% tariff on Chinese imports effective November 1. However, a partial recovery in global cues was seen after Trump adopted a more conciliatory tone, indicating openness to negotiations.

At the closing bell, the BSE Sensex shed 173.8 points, or 0.21%, to settle at 82,327, while the NSE Nifty declined 58 points, or 0.23%, to end at 25,227.4. The broader market closed on a mixed note, with the Nifty Midcap 100 inching up 0.11%, whereas the Nifty Small Cap 100 edged lower by 0.17%. On the sectoral front, selling pressure was evident in defensive pockets, with the Nifty FMCG and Nifty IT indices slipping 0.9% and 0.8%, respectively. Weakness was also seen in consumer durables and energy stocks. The Nifty Bank index ended largely unchanged, while the Nifty PSU Bank index outperformed, closing with gains of 0.24%, supported by select buying in state-run lenders.

Nifty Outlook

On the daily chart, the index has formed a small bullish candle that remains within the previous session’s range, indicating a phase of consolidation with positive bias amid stock-specific activity. The Nifty has already rallied approximately 700 points over the past two weeks, pushing the daily stochastic indicators into overbought territory. This suggests that some short-term consolidation may be likely. Overall sentiment remains positive, and we believe dips can be used as buying opportunities.

Immediate support is seen around the 25,000–25,100 zone, which aligns with the previous swing low and the 20-day and 50-day EMAs. A sustained move above last week’s high of 25,330 would signal a continuation of the uptrend, potentially paving the way for a rally towards the next key resistance at 25,450 — the upper boundary of the three-month triangular consolidation pattern.

Bank Nifty Outlook

Bank Nifty formed a second consecutive bull with a higher high and higher low highlighting positive bias. Going forward, the index is likely to sustain its upward momentum, with immediate support placed at 56,200-56,300 levels, being Monday’s low, followed by a stronger base near 55,800-55,600.

Bajaj Broking expect the index to head towards the immediate resistance of 57,000, a move above the same will open further upside towards all-time high placed around 57600 levels. From an oscillator perspective, the Stochastic indicator, which earlier hovered in oversold territory, has shown a sharp recovery and is now approaching overbought levels, indicating strong underlying momentum.

Ashika Institutional Equities

Indian markets closed on a resilient note today, having opened significantly lower in response to global sentiment shaken by President Trump’s announcement of a proposed 100% tariff on China and Beijing’s warning of strong countermeasures if the threat is not withdrawn. This escalation in trade tensions soured market mood across the globe.

Despite the gap-down opening, Indian equities managed to hold steady for most of the session, with the first half dominated by sideways price action. Notably, the final hour saw robust buying interest, propelling the Nifty index past the 25,200 mark.

From a technical perspective, as long as Nifty sustains above its critical 25,000 support, the trend remains positive and a move toward 25,500 resistance appears plausible. Sector-wise, notable strength was seen in Banks, Media, Financial Services, and Healthcare, while Consumer Goods, Consumer Durables, and IT ended the day with a largely flat performance.

Also Read: Bajaj Broking, Ashika Institution & MOFSL Daily Market Commentary

Motilal Oswal Financial Services Ltd 

Indian equities ended on a flattish note, halting a two-day winning streak amid renewed global trade tensions that dampened sentiment. The Nifty50 slipped 0.23% (–58 pts) to close at 25,227. Broader markets were mixed, with the Nifty Midcap100 up 0.1% while the Nifty Smallcap100 edged 0.2% lower. Volatility spiked, with India VIX surging nearly 9%, reflecting heightened risk aversion.The drawdown in domestic markets followed weakness across Asian peers after U.S. President Donald Trump’s warning of “restrictive” tariffs on China, rekindling fears of a potential escalation in global trade frictions. 

Sectorally,  the FMCG index declined 0.9%, IT index (-0.8%)  faced selling pressure amid global trade risk. Metals (-0.4%) witnessed weakness on concerns over trade-linked demand slowdown. In contrast, Media, PSU Bank, and Healthcare indices managed to end in the green, lending some support to the headline index.

On the commodities front, precious metals continued their record-breaking rally. Silver surged ₹4,400/kg to an all-time high, while gold futures on MCX climbed 1.62% to ₹1,23,313 per 10g, marking a new domestic peak. Institutional activity remained supportive, with both FIIs and DIIs net buyers for the fourth consecutive session on Friday, suggesting underlying confidence in India’s macro resilience despite short-term volatility.

"We expect markets to remain range-bound in the near term, tracking Q2 earnings announcements and evolving global tariff developments. While institutional inflows and domestic fundamentals provide a cushion, volatility may persist as investors assess trade rhetoric and its implications for global growth", stated Siddhartha Khemka - Head of Research, Wealth Management, Motilal Oswal Financial Services Ltd.