The Indian stock market benchmark indices sentiment is expected to remain upbeat on Monday after the announcement of a full and immediate ceasefire between India and Pakistan. The benchmark indices, Sensex and Nifty 50, may see a positive opening as the de-escalation of geopolitical tensions removes a key overhang and is likely to be seen as a major positive development by financial markets.
India and Pakistan have reached a ‘bilateral understanding’ to halt firing and military action on land and in air. Meanwhile, Air Marshal AK Bharti said Operation Sindoor effectively destroyed terror camps, achieving its objectives with precision.
Analysts believe that if the current stability holds over the next 24–48 hours, with no retaliatory actions or escalatory rhetoric from India or Pakistan, the stock markets are likely to respond constructively.
Prashanth Tapsi, AVP – Research at Mehta Equities expects Nifty 50 to see a gap-up opening on Monday with volatility to remain higher.
“A gap-up opening of 200–300 points on the benchmark indices is expected on Monday, as investor confidence returns. However, volatility is likely to persist, driven by the ongoing earnings season and global uncertainties — especially tariff-related developments,” Tapse said.
According to him, defense and banking sectors may see renewed buying interest as immediate geopolitical risks subside while broader indices are also likely to recover recent losses from the past 2–3 sessions, aided by improving sentiment.
Anshul Jain, Head of Research at Lakshmishree Investment and Securities also expects the Nifty 50 to open with a gap up today, buoyed by ceasefire developments that have improved global sentiment.
Meanwhile, Gift Nifty also indicates a strong opening of over 500 points higher for the benchmark Nifty 50 index.
Technicals
The Indian stock market benchmark indices ended sharply lower on Friday, with the Nifty 50 holding above the 24,000 level.
“Technically, now the 23,500 mark becomes a key make-or-break support. More waterfall of selling is expected below the same with resistance at 24,275 / 24,401,” Tapse said.
According to Anshul Jain, the Nifty 50 index is approaching a key swing resistance near 24,190, and a sustained move above this level could push the index toward 24,480, where the next major hurdle lies.
“While the 25,000 mark seems out of reach in the current leg, bulls will likely target it after a healthy pullback and higher low formation. The market’s structure remains solid, with both daily and weekly moving averages aligned in a bullish setup. Any dip toward these averages should be seen as a buying opportunity rather than a reason to panic. Momentum traders will keep a close eye on price action near 24,190 for signs of a breakout,” said Jain.
For now, the path of least resistance remains upward — unless bulls fumble at the key resistance zone,” Jain said.
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