Stock Market Update: Nifty 50, Sensex Opens Weak as RBI Policy, Global Sell-Off Drive Caution

Indian equity markets opened on a subdued note on February 6, tracking weakness in global equities and heightened caution ahead of the Reserve Bank of India’s (RBI) monetary policy decision. Early indicators from Gift Nifty point to a negative start. The index was trading around 25,609, nearly 115 points lower than the previous close of Nifty futures.

On Thursday domestic equities closed lower amid profit booking at higher levels. Sensex declined 503.76 points or 0.60% to end at 83,313.93 while Nifty 50 fell 133.20 points or 0.52% to close at 25,642.80.

Global and Macro Cues in Focus

Markets are braced for RBI’s February policy announcement, the final policy review of FY26. The Monetary Policy Committee will likely maintain the repo rate at 5.25% because current inflation levels stay within acceptable limits. 

RBI's approach to liquidity conditions and its predictions about inflation and future interest rate changes will be key indicators that investors will monitor throughout the upcoming fiscal year.

Sensex Outlook

The daily chart of Sensex shows bearish candle and it indicates that momentum is declining. 

The 83,200 level is an important support according to analysts. A sustained break below this level could trigger a downward trend towards 83,000-82,500. 

The index faces immediate resistance at 83,800 and a move above this could help in a recovery toward 84,000-84,200.

Nifty 50 Outlook

Derivatives data indicate heavy put writing at 25,500 and strong call writing near 25,700, clearly defining a tight near-term trading band. 

Nifty 50 continues to oscillate within the 25,600-25,800 range. Analysts highlight that the partial filling of Tuesday’s upside gap keeps the broader structure intact. 

As long as 25,400-25,500 holds, a buy-on-dips strategy remains viable, with upside potential toward 26,000 if a sustained breakout above 25,800 happens.

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Bank Nifty Outlook

Bank Nifty closed at 60,063.65, down 174.50 points or 0.29%, forming a small-bodied candle that reflects consolidation. 

The index is still above both the 20-day and 50-day moving averages as it receives strong support at the 59,800- 59,600 level. 

The 60,300-60,400 zone is like an immediate resistance and any breakout beyond this range will revive upward movement.