Benchmark indices extended their decline for the eighth consecutive session on Tuesday, closing marginally lower on the monthly derivatives expiry day as investors stayed on the sidelines ahead of the Reserve Bank of India’s monetary policy committee meeting scheduled for October 1. The dipped by 97.32 points or 0.12 per cent to end at 80,267.62, while the was down by 23.80 points or 0.10 per cent to 24,611.10.
The persistent selling pressure has formed a rare Japanese candlestick pattern known as the Record Session Count, which typically signals potential exhaustion in bearish momentum. “On the final trading session of September, the benchmark index Nifty extended its losing streak, closing in the red for the eighth consecutive session,” said Sudeep Shah, Head – Technical Research and Derivatives at SBI Securities. “This persistent decline has led to the formation of a rare Japanese candlestick pattern known as the Record Session Count. Typically observed near the end of a downtrend, this pattern signals potential exhaustion in bearish momentum and suggests that selling pressure may be nearing its limit.”
The market breadth remained nearly balanced, with 2,047 stocks advancing and 2,046 declining on the BSE, while 167 remained unchanged. Out of 4,260 stocks traded, 141 hit their 52-week highs, while 156 touched their 52-week lows. Seven stocks hit the upper circuit and six were locked in the lower circuit.
Among Nifty 50 constituents, emerged as the top gainer, rising 1.66 per cent to close at ₹1,406.10, followed by , which gained 1.65 per cent to ₹12,240.00. advanced 1.61 per cent to ₹1,140.30, climbed 1.49 per cent to ₹682.55, and rose 1.35 per cent to ₹764.00.
On the losing side, was the biggest laggard, falling 2.03 per cent to ₹5,591.00. declined 1.36 per cent to ₹401.70, dropped 1.17 per cent to ₹2,001.00, slipped 1.01 per cent to ₹1,883.00, and fell 0.97 per cent to ₹1,397.00.
The sectoral performance was mixed with PSU banks leading the charge, gaining 1.8 per cent and extending their winning streak for the second consecutive session. The Nifty Bank index rose 174.85 points or 0.32 per cent to 54,635.85, while Nifty Metal advanced one per cent. However, Nifty Media declined over one per cent after the US announced 100 per cent tariff on movies made outside the US. The Nifty Financial Services index edged up 15.10 points or 0.06 per cent to 26,022.10, while the Nifty Midcap 100 remained flat, down 3.85 points or 0.01 per cent at 56,529.30. The Nifty Next 50 gained 10.05 points or 0.01 per cent to 67,845.15.
“Today, the Indian stock market closed largely flat as investors adopted a cautious stance amid mixed global cues and anticipation ahead of the Reserve Bank of India’s upcoming Monetary Policy Committee meeting,” said Abhinav Tiwari, Research Analyst at Bonanza. “The BSE Sensex and Nifty 50 traded in a narrow range with minimal change by market close, reflecting indecision among buyers and sellers.”
Ponmudi R, CEO of Enrich Money, noted that “sectoral rotation was evident, with PSU banks and metal stocks attracting fresh buying interest, supported by improving fundamentals and favourable macro trends.”
From a technical perspective, analysts warned that crucial support levels are being tested. “For Nifty, the zone of 24,500-24,450 will act as crucial support for the index, as an upward-sloping trendline is placed in that region. While on the upside, the zone of 24,800-24,850 will act as a crucial hurdle for the index,” said Shah of SBI Securities.
Ajit Mishra, SVP Research at Religare Broking, added that “technically, 24,600 remains an immediate support, and a breach could open the doors for a decline toward the 24,400–24,500 zone, while resistance lies at 24,800–25,000.”
In the currency market, the rupee traded flat near 88.77 ahead of the RBI policy decision. “Rupee traded flat near 88.77 ahead of the RBI policy tomorrow, which is expected to provide some cushion to the falling currency,” said Jateen Trivedi, VP Research Analyst at LKP Securities. “Equity markets have remained stable over the last two sessions as DII buying absorbed persistent FII selling pressure, helping limit rupee weakness.” The expected trading range for the rupee is between 88.45–89.15.
In commodities, gold traded volatile ahead of key US data releases, including ADP Nonfarm Employment Change and Friday’s Nonfarm Payrolls. “Gold traded volatile ahead of key US data releases, including ADP Nonfarm Employment Change and Friday’s Nonfarm Payrolls with unemployment figures,” said Trivedi. “Profit-booking by participants added to volatility, with prices ranging between $3,865–$3,875 on Comex and ₹1,15,000–₹1,17,500 on MCX.”
The India VIX, which measures market volatility, fell 2.64 per cent to 11.065, reflecting subdued volatility despite ongoing uncertainty.
Looking ahead, all eyes remain firmly on the RBI’s monetary policy outcome on October 1, where a status quo on interest rates is widely expected. “Market expectations remain anchored around the RBI’s monetary policy outcome, which is likely to set the near-term direction for Indian equities. While most economists anticipate a status quo on interest rates, any dovish commentary from RBI Governor Sanjay Malhotra could provide relief to beaten-down stocks,” said Tiwari of Bonanza. Rate-sensitive sectors, including banking, financials, realty, and auto are expected to remain in focus following the RBI commentary. Additionally, the release of September auto sales numbers starting from October 1 will keep automobile stocks in the limelight.