The Indian stock market faced continued pressure on February 27, 2025, as sentiments wavered following weak global cues. Market participants were left anxious after U.S. President Donald Trump's reaffirmation of proposed tariffs on Canada and Mexico, leading the Nifty 50 index to close lower for the sixth consecutive session.
Ending at 22,547, the Nifty 50 index reflected declining momentum, showing how global uncertainties impact local sentiments. The BSE Sensex managed to impress slightly higher, closing at 74,602, with 147 points gained, but this did not overshadow the broader market decline. The Bank Nifty index experienced its own downturn, correcting by 43 points to close at 48,608.
The metal, realty, PSU banks, and oil & gas sectors faced most of the selling pressure during this turmoil, with traders exhibiting caution. Despite this, the media, consumer durables, and auto sectors managed marginal rises, showing diversification of market behaviors. Meanwhile, the Mid-cap and Smallcap indices continued to slide, with the Nifty Midcap 100 index down by 0.62% and the Nifty Smallcap 100 index decreasing by 0.44%. The BSE advance-decline ratio reflected this bearishness, recording 0.74, where declines outnumbered advances.
Market analyst Vaishali Parekh from Prabhudas Lilladher commented on the Nifty 50’s lackluster performance, stating, "The Nifty 50 index witnessed a dull, sluggish session...a decisive move below 22,500 level...fresh selling pressure." Parekh also noted the resistance levels at 22,800, emphasizing, "The index would need to move past the near-term hurdle of 22,800 level to regain some strength," indicating markets need significant upswings to turn around current sentiments.
Focusing on the Bank Nifty, Parekh mentioned this index's performance as characterized by limited rangebound trading. "The Bank Nifty index...was able to sustain the near-term support area of 48,400 zone...anticipate...further rise thereafter if it moves past the resistance hurdle of 49,700," she explained, highlighting the necessity for upward movement as assurance for traders.
For those participating actively today, Parekh provided specific stock recommendations for intraday trading: Trent, Maruti Suzuki India Limited, and Reliance Industries Limited (RIL). For Trent, she recommended selling at ₹4958 with targets set for ₹4780 and stop-loss at ₹5050. Contrastingly, buyers can look at Maruti Suzuki, listed with buy conditions set at ₹12491, with targets at ₹12800 and stop-loss at ₹12300. For Reliance Industries, she indicated selling at ₹1203 targetting ₹1180 with appropriate stop-loss at ₹1220. Investors were advised to approach these recommendations cautiously.
MarketSmith India also contributed to the discussion, providing its analysis of Nifty's recent behavior. "The overall bias of the market remains weak...Any pullback can be considered...a selling opportunity on the rise," the firm reported. They elaborated on specific stock recommendations, highlighting Chambal Fertilisers and Chemicals Ltd, advising to buy between ₹550–565 with projected profits reaching ₹670 within 3–4 months. Another stock they suggested was Sarda Energy & Minerals Ltd, with current market pricing at ₹475.35, buy range set at ₹466–485, profit goal positioned at ₹590, also timed similarly.
Market analysts underscored the importance of thorough research and potential consultation with certified experts before acting on these trading suggestions, especially amid volatility and conflicting market indicators. While minor rebounds were noted, the recommended caution appeared prudent for traders and investors to navigate through these turbulent market conditions.