Indian stocks traded cautiously on Friday, with the Nifty 50 holding just above 24,300 amid broad-based weakness and subdued trader sentiment, as investors awaited a clear breakout from recent narrow trading ranges.
Indian equities stayed under pressure on Friday afternoon as investors struggled to find a fresh catalyst, with the Nifty 50 holding just above 24,300 and the Sensex extending a fourth straight session of losses. By 12.35 pm, the Nifty was at 24,341.65, while the Sensex stood at 77,839.55, reflecting a cautious tone across the market as traders waited for a break from the narrow range that has dominated the index since early August. According to Sudeep Shah of SBI Securities, the market’s lack of conviction has become increasingly evident, with stock-specific moves doing most of the heavy lifting.
Shah said the Nifty has been trapped in a tight band since August 4 and argued that a clear move out of that range will be needed before the market can establish a stronger trend. He placed immediate support at 24,260-24,240, with a break below that zone potentially opening the way towards 24,120-24,100. On the upside, he identified 24,430-24,450 as the first resistance area, with a decisive push above that band possibly carrying the index towards 24,600. For the Sensex, he pegged support at 77,400 and resistance at 78,350.
Market breadth remained weak, with the Nifty’s advance-decline ratio at 14:36, underscoring the uneven nature of the session. On the BSE, more stocks fell than rose among the names traded at midday, while the number of shares touching 52-week highs still outpaced those hitting lows. Sectorally, the weakness was broad-based, with metal shares leading the decline and information technology also under pressure. Small profit-taking emerged in the mid-cap and small-cap space after their recent outperformance. Among the Nifty 50 laggards, TMPV was the biggest drag, while Apollo Hospitals and Bharti Airtel were among the stronger performers.
The derivatives set-up also suggested that the market may remain range-bound for the rest of the session. Shah pointed to notable call writing at the 24,400 and 24,500 strikes, alongside sizeable put open interest at 24,300 and 24,200, a pattern that often signals limited room for a sharp move unless a fresh trigger appears. Commodity and currency moves added to the cautious tone, with crude oil softer, the rupee steady and precious metals losing some of their recent momentum. Reuters has previously reported that Indian equities have been sensitive to sector rotation and global commodity cues in recent sessions, and Friday’s trade appeared to reflect that same pattern.
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