Stock Market Highlights: Sensex, Nifty Extend Rally For Ninth Consecutive Year

The NSE Nifty 50 and BSE Sensex rose for nine years in a row, recording the best yearly winning streak since their inception despite sharp losses in the last three to four months of 2024. The Nifty 50 rose 8.80%, and the Sensex rose 8.17% in the calendar year 2024.

Trent Ltd. and Mahindra & Mahindra Ltd. are the best performers in the Nifty 50 index. Trent rose 133.17%, and Mahindra & Mahindra Ltd. rose 73.86%.

The benchmark indices ended on a muted note on Tuesday. Infosys Ltd. and ICICI Bank Ltd. share prices dragged. The Nifty 50 ended flat at 23,644.80, and the Sensex ended 0.14% or 109.12 points lower at 78,139.01.

The Nifty 50 declined as much as 0.78% to the day's low of 23,460.45, and the Sensex fell 0.88% to the day's low of 77,560.79.

"Today's market action exhibited a V-shaped recovery, with a subdued opening followed by a sharp decline led by weakness in the mid- and small-cap stocks," said Aditya Gaggar, director, Progressive Shares. However, a strong recovery across sectors helped the index close the session at 23,644.80. Notably, the energy and pharma sectors were the top gainers, while IT faced the steepest decline, down over 1%, followed by weakness in realty stocks.

The broader markets saw a mixed performance. While midcaps recovered alongside the Frontline Index, small caps outperformed, highlighting some disparity in market strength.

A spinning top candlestick pattern appeared on the chart, suggesting indecisiveness but also raising the possibility of a positive divergence in the RSI, which could signal a change in momentum. In terms of technical levels, the immediate resistance is seen at 23,700, and a confirmation of trend reversal would see the next resistance level at 23,880. On the downside, 23,470 remains a key support level, Gaggar said. 

Infosys Ltd., ICICI Bank Ltd., Tata Consultancy Services Ltd., HDFC Bank Ltd., and Tech Mahindra Ltd. share prices dragged the Nifty 50 index.

ITC Ltd., Kotak Mahindra Bank Ltd., Trent Ltd., Larsen & Toubro Ltd., and Bharat Electronics Ltd. were added to the Nifty 50 index.

On NSE, seven sectors advanced, and five declined out of 12. The NSE Nifty Oil & Gas rose the most, and the NSE Nifty IT declined the most.

The broader markets outperformed in comparison to benchmark Sensex. BSE MidCap 0.13% higher, whereas the Smallcap ended with gains of 0.71%.

On BSE, 16 sectors advanced, and five declined out of 21. The BSE Focused IT declined the most, and the BSE Capital Goods rose the most.

Market breadth was skewed in favour of buyers. Around 2,323 stocks advanced, and 1,647 stocks declined, and 109 stocks remained unchanged on BSE.