Markets closed higher for the fourth consecutive session on Tuesday, with the Nifty 50 recovering from a weak opening to reclaim the psychologically significant 23,000 mark. The Sensex gained 509 points to settle at 74,616, while the Nifty added 155 points to close at 23,123.
The session was anything but smooth. Both indices opened with a gap-down, with the Nifty sliding to an intraday low near 22,719 before buyers stepped in decisively. The recovery was driven largely by short-covering and selective accumulation in IT, metals, and realty, rather than broad-based buying conviction.
IT stocks were the standout performers of the session, with the Nifty IT index gaining 2.5 per cent. led sectoral gains following a significant long-term deal announcement, reinforcing earnings visibility ahead of the Q4 results season. The sector also benefited from currency tailwinds as the rupee appreciated against the dollar, trading near the 92.9 mark. was the second-biggest gainer on the index, while and ended as the top laggards.
The metals index rose 1.5 per cent and realty added 1.7 per cent, with selective value buying emerging in beaten-down cyclicals. However, PSU banks and Consumer Durables were the only sectoral indices to end in the red, reflecting patchy participation across the market.
Vinod Nair, Head of Research at Geojit Investments, noted that “gains remained largely confined to IT, FMCG, and metals, while the broader market breadth stayed weak, reflecting persistent caution… investors are also awaiting the RBI policy decision, with rates widely expected to maintain the status quo.”
Crude oil prices offered some relief, easing marginally from $111.80 to around $109 per barrel, though levels remain elevated and continue to weigh on India’s inflation outlook. MCX crude held above ₹10,000. The India VIX declined 3 per cent to 24.69 but remained in elevated territory, keeping option premiums expensive and trading conditions challenging.
On the technical front, the RSI climbed to 43.46 — its highest reading since early March — and has now held above the 40 mark for two consecutive sessions, signalling a potential shift from bearish to neutral momentum. Key support for the Nifty now sits at 23,000, with resistance seen in the 23,250–23,300 zone near-term and the 23,500–23,600 band as the bigger hurdle.
Hitesh Tailor, Research Analyst at Choice Equity Broking, pointed to derivatives positioning as a guide for near-term direction: “notable put writing at the 23,000 level and significant call writing at 23,200 suggest likely range-bound movement in the near term… traders are advised to maintain a cautious approach.”
Geopolitical developments remain the dominant overhang. Iran’s rejection of a ceasefire proposal and Trump’s ultimatum around the Strait of Hormuz kept global markets on edge through the day. Ponmudi R, CEO of Enrich Money, described the session as reflecting “a clear transition in market behaviour — from panic-driven reactions to disciplined risk absorption,” but cautioned that “with Trump’s deadline approaching and no visible de-escalation from Iran, energy prices remain elevated with limited visibility of relief.”
All eyes now turn to the RBI Monetary Policy Committee decision due April 8, where a status quo on the repo rate at 6.25 per cent is widely expected, alongside the tone of commentary around inflation and growth. The first batch of Q4 earnings results and any geopolitical developments overnight will be critical in determining whether the market can sustain its recent momentum or face renewed selling pressure at higher levels.