Stock market news: The domestic benchmark indices, Sensex and Nifty 50, are likely to open higher on Wednesday, building on gains from the prior session following the India-EU trade agreement.
Asian markets exhibited mixed performance, while the US stock market largely finished higher, with the S&P 500 reaching an intraday all-time high.
The Gift Nifty was fluctuating around the 25,445 mark, showing a premium of approximately 62 points over the previous close of the Nifty futures, suggesting a strong start for the Indian stock market indices.
Sensex and Nifty 50 closed higher on Tuesday amid significant volatility, supported by strong purchases in bank and metal sectors, favorable trends in global markets, and positive sentiment regarding the India-EU FTA.
Nonetheless, slow corporate earnings growth and ongoing outflows of foreign capital from Indian equities limited the gains, according to traders.
The Sensex rose by 319.78 points, or 0.39%, to finish at 81,857.48, while Nifty 50 increased by 126.75 points, or 0.51%, to conclude at 25,175.40.
Market Outlook by Jay Thakkar, Vice President & Head of Derivatives and Quant Research, ICICI Securities
Nifty 50
Nifty 50 bounced back from the previous swing support and managed to close above 25,150 levels which is a positive sign in the near term. The bounce was well supported by the banking and financials as they have higher weightage in the Nifty 50. The Nifty metals continue its up move with more than 3% gains in the last trading sessions and with that the up move in PSU Bank Index as well as Nifty Metal Index continues and there is no reversal out there.
The India VIX had opened gap up with more than 9% gain and it made an intraday high of 16.06 and closed almost flat at 14.22, however, until the budget day it is expected to rise, hence the short-term base is 12 and till it doesn’t close below those levels it is expected to rise.
As far as options chain is concerned, now 25,000 has the highest put base whereas 25,500 has the highest call base, so the range for the next weekly expiry is 25,500-25,000 levels and until 24,900 levels are held on a closing basis, there is a room for short covering which can lead to some recovery, however, the volatility can’t be ruled out.
Buy Tata Steel February Futures in the range of ₹195-190; stop loss at ₹185; Targets at ₹205/210
The steel stocks within the Metal Index had outperformed in the last trading session and there has been overall long rollover in these names. Overall Tata Steel has witnessed long built up along with higher tops and bottoms which indicates short term uptrend. The stock has highest call base at 190 and it has managed to close above the same, hence some call unwinding can’t be ruled out, so one can initiate long positions on the same.
Buy Union Bank February Futures in the range of ₹175-177; stop loss at ₹170; Targets at ₹182/185
The stock has been consolidating since few trading sessions and a breakout from it in the feb series is likely as there has been overall long built in the stock since past few months. The Nifty PSU Bank Index has been outperforming the overall market which is also a positive sign in the near term. As per the options data, there is the highest call base at 180 strike which when taken off will witness huge call unwinding, on the lower side, 175-173 is a good support, so the overall bias is positive.
Buy BEL February Futures in the range of ₹415-420; stop loss at ₹398; Targets at ₹450/465
This stock has been consolidating in the range of 370-425 since past few months and the lower end of the range has been shifting higher. In this overall process, the stock has not witnessed any major long unwinding, however, it has witnessed some long built up which is a positive sign for the stock, hence the upside potential is higher. There is highest call base at 420 and above that one can expect huge call unwinding as well as breakout on the upside.
Disclaimer: The Research Analyst or his relatives or I-Sec do not have actual/beneficial ownership of 1% or more securities of the subject company, at the end of 27/01/2026 or have no other financial interest and do not have any material conflict of interest.
The views and recommendations provided in this analysis are those of individual analysts or broking companies, not Mint. We strongly advise investors to consult with certified experts before making any investment decisions, as market conditions can change rapidly and individual circumstances may vary.
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