Indian Markets Remain Rangebound; DMart Surges 7%, L&T Rallies On Earnings

Indian equity markets remained rangebound, with the Nifty holding the 24,850 level ahead of the weekly expiry session. Investor sentiment remained cautious as they await the US Federal Reserve’s rate decision and parsed the latest commentary from US President Donald Trump on the possibility of higher tariffs ahead of the August 1 trade deal deadline. 

On Wednesday, the Sensex closed 143 points higher at 81,481, while the Nifty 50 ended 33 points higher at 24,855. Broader markets saw some selling pressure, with the Nifty Midcap index ending flat and the Smallcap index falling 0.5%. 

And the retail investor sentiment surrounding the Nifty 50 remained ‘neutral’ by market close on Stocktwits.

Stock Moves

Sectorally, real estate, media, PSU banks and autos took a knock, while FMCG, IT, and consumer durables saw some buying.

L&T rallied 5% and was the top Nifty gainer, following a strong show in the June quarter earnings and a robust orderbook. On the flip side, Tata Motors was the top Nifty loser, ending 4% lower on reports of its acquisition talks with an Italian company.

Other earnings movers include New India Assurance (+17%) and KPIT Tech (+3.5%). Meanwhile, MOIL fell 6%, PNB, Power Grid, and Hyundai Motor India slipped 1%.

Amber Enterprises rose 3%, following its ambitious plans to achieve $1 billion revenue in its electronics division within the next three to four years.

DMart shares surged 7% after the company informed analysts during an investor call of its plans to accelerate store expansions and expressed confidence that competition from quick commerce would not negatively impact its financial performance.

SEBI-registered analyst Kavita Agrawal noted that DMART was approaching a potential swing entry, with its 75-minute chart showing a clear positive divergence, which is a sign of possible upside. She identified an entry range between ₹3,990 and ₹4,020, for a target price of ₹4,485, with a stop loss of ₹3,851.

And NSDL's initial share sale saw strong first-day bidding on July 30, with retail investors subscribing 114% and non-institutional investors 142%. QIBs subscribed 50%.

Markets: What Next?

Analyst Ashish Kyal noted that the Nifty was moving around the Gann magnet of 24,728, with prices hovering around this pivot. If the index closes above the previous day's high of 24,847, it would shift the daily bias to the upside. The immediate support level to watch is 24,770, and if the upside momentum sustains, a move towards 24,960 is likely.

Analyst Manjushree Sharma noted that the market is rangebound heading into weekly expiry, with resistance at 25,000 and solid support at 24,600. This setup favors option writing strategies on both the call and put sides. 

The India VIX remains subdued, implying a low volatility, range-bound expiry setup. —ideal for non-directional trades. 

Sharma added that resistance at 25,000 acts as the call option (CE) writing zone, while support at 24,600 serves as the put option (PE) writing zone. She recommended a ‘sell on rise’ strategy, as no strong momentum breakout has yet been observed. Traders can take a short strangle or straddle option strategy, writing call options near 25,000 and put options near 24,600. It is advisable to hedge with out-of-the-money (OTM) options if necessary and maintain a strict stop loss in case of a breakout from this range.

Globally, European markets traded mixed, while US stock futures indicate a subdued start on Wall Street as investors await the US Federal Reserve’s meeting outcome. 

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