The markets displayed the usual tentativeness ahead of a derivatives expiry as the indices trended within a tight perimeter. The traded volumes contracted marginally as the lower intraday volatility kept day traders on the fence. The market breadth was negative as the combined exchange figures were 1,442 : 2,171. The capitalisation of the same on a commensurate basis was also negative as the figures were Rs 2,762 cr : Rs 8,824 cr.
The indices have closed at the lower end of the intraday range as the weakness persisted till the fag end of the session. The banking and technology sectors continued to remain a drag on the system and suggest unwinding of bull positions. The intraday range suggested for Tuesday between the 2,775-2,810 band for resistance on the Nifty was on the ball as the Nifty retraced from this hurdle.
The coming session is likely to witness a range of 2,750 on advances and 2,560 on declines. The bullish pivot for the coming session will be at 2,730, above which the bulls will have to maintain the index and the bearish pivot will be the 2,695-level, below which the bears will have an automatic advantage. The outlook for the coming session is that of range-bound trade and expiry-related compulsions. Avoid big-ticket trades in either direction.