Markets Weaken in Final Hour, Sending Nifty Below 25,900 and Sensex Down 314 Points

Nifty 50 Slips Below 25,900 as Late Selling and Expiry Volatility Drag Markets Lower

The Nifty 50 extended its losing streak for a third consecutive session on Tuesday, November 25, as late-hour selling and derivatives expiry-linked volatility pulled the benchmark index into the red. After trading in a narrow range for most of the session, the Nifty 50 finally closed below the psychologically important 25,900 mark, signalling continued caution among traders and investors.

At the close, the Nifty 50 was down 0.29% at 25,884.80, while the Sensex shed 313.70 points, or 0.37%, to finish at 84,587.01. The Bank Nifty also failed to hold on to intraday gains and ended marginally lower by 0.03% at 58,820.30, closing near the day’s low after giving up more than 350 points from the high.

Despite the pressure on frontline indices, the broader markets showed relative resilience, with midcap and smallcap indices ending with mild gains, supported by stock-specific buying.

Also Read : Realty Index Snaps Five-Day Losses, Gains 2% on Rate-Cut Commentary from RBI Governor

Nifty 50 Struggles Near 26,000 as Resistance Proves Strong

The session began on a relatively steady note, with the Nifty 50 attempting to move higher. However, it soon became evident that the 26,000 zone remains a stiff resistance area. The index moved in a tight band for most of the day, before sharp selling in the final hour dragged it below 25,900.

Technically, the Nifty 50 is now hovering close to its 20-day EMA support zone of 25,850–25,800, which market participants view as a crucial level for the short term. Any sustained move below 25,800 could open the doors for a deeper pullback towards 25,600, while on the upside, the 26,000–26,050 band remains a strong resistance zone that needs to be decisively cleared for a fresh up-move.

For the Bank Nifty, the 58,600–58,500 zone is likely to act as key support, with any breakdown below 58,500 potentially dragging the index towards 58,000. On the upside, a breakout above 59,200–59,300 may resume the positive momentum.

Monthly Nifty F&O Expiry and FII Selling Weigh on Sentiment

One of the key factors behind today’s weakness in the Nifty 50 was the monthly Nifty F&O expiry, which typically brings heightened volatility as traders roll over or unwind their positions. Analysts noted that the market remained muted as participants closely watched whether foreign investors would roll over their aggressive short positions or pare them down.

Continued FII selling has also acted as a major headwind for the Nifty 50. Heavy foreign outflows in recent sessions have made it difficult for the index to sustain any breakout attempts above its previous record highs. Until FII flows stabilise, analysts expect the market to witness a “sell on rise” pattern at higher levels.

Mixed Global Cues Add to Pressure on Nifty 50 Today

Global cues, though not outright negative, remained mixed and contributed to the cautious tone in the Nifty 50. While US markets have rallied on hopes of a 25 bps rate cut by the Federal Reserve, concerns are mounting around an overheated AI-driven tech rally, especially after a sharp 2.69% surge in the Nasdaq and a strong rebound in mega-cap tech stocks.

Asian markets traded with a mixed bias: Japan’s Topix slipped, while Hong Kong’s Hang Seng and China’s Shanghai Composite posted gains. European futures pointed to a weaker start, keeping global risk appetite in check.

Back home, traders remained watchful ahead of key US inflation data, which could shape expectations for the Fed’s next move, and developments around the Indo-US trade deal.

Sectoral Trends: IT and FMCG Drag, PSU Banks and Realty Shine

Sectorally, the picture remained mixed for the Nifty 50 and the broader market:

Top gaining sectors:

• Realty (+1.62%)
• Metal (+0.55%)
• Pharma (+0.44%)
• PSU Banks (over +1%)

Top losing sectors:

• Media (-0.80%)
• IT (-0.57%)
• Consumer Durables (-0.57%)
• FMCG (-0.16%)
• Oil & Gas (-0.34%)

The resilience in PSU Banks, Metals, Pharma and Realty helped cushion some of the downside in the Nifty 50, even as selling in IT and consumer-facing names continued.

Nifty 50 Gainers and Losers: Heavyweights Under Pressure

Within the Nifty 50, the market breadth was almost evenly balanced, with 2,022 shares advancing, 1,972 declining, and 149 unchanged on the broader NSE.

Major Nifty 50 Gainers

• BEL: +1.58%
• Hindalco Industries: +1.44%
• State Bank of India (SBI): +1.33%
• Shriram Finance: +1.26%
• HDFC Life: +0.80%

Major Nifty 50 Losers

• Adani Enterprises: -2.91%
• TMPV: -1.59%
• Trent: -1.49%
• Infosys: -1.15%
• Power Grid: -1.14%

Among the Sensex constituents, only a handful of names such as BEL, SBI, Tata Steel, Reliance Industries, Bharti Airtel and Bajaj Finserv managed to end in the green, while the majority of index heavyweights closed lower, dragging the Nifty 50 and Sensex with them.

Broader Market Action, India VIX and Stock-Specific Moves

Despite the decline in the Nifty 50, the broader market indices outperformed, with BSE Midcap and Smallcap indices ending with modest gains after a recent phase of correction. The India VIX, the volatility gauge, fell 7.49% to settle at 12.24, signalling some cooling of fear even as prices eased.

Daily market stats:

• Advancers: 1,596
• Decliners: 1,540
• 52-week highs: 33
• 52-week lows: 219
• High band hitters: 66
• Low band hitters: 69

On the stock-specific front:

• Surya Roshni gained 2% after securing an order worth ₹105.18 crore
• Dr Reddy’s Laboratories rose on EU approval for AVT03, a proposed biosimilar to Prolia and Xgeva
• Yatra Online slipped 1% after the CEO’s resignation
• Blue Cloud Softech fell 3% post a JV announcement
• Reliance Infrastructure declined 4% after a block deal
• Ashok Leyland added 1% after a block deal
• Transformers and Rectifiers surged 4% on a ₹389.97 crore order win
• Niraj Cement jumped nearly 9% on bagging a ₹220 crore order

Nearly 80 stocks hit 52-week highs, including Federal Bank, GMR Airports, Muthoot Finance, AU Small Finance Bank, Reliance Industries and Hero MotoCorp. On the other hand, close to 280 stocks printed 52-week lows, underscoring the polarised nature of the market beneath the Nifty 50.

Technical View: Nifty 50 Weak in Near Term but Bullish Structure Intact

On the daily chart, the Nifty 50 has formed a long bearish candle with a minor upper shadow, which technical analysts interpret as a continuation of short-term weakness. The recent series of overlapping negative candles suggests a “sell on rise” environment in the near term.

However, the larger bullish structure of higher tops and higher bottoms remains intact. Analysts expect the current weakness to find support near the 25,800–25,700 zone, where a cluster of supports such as the previous gap area (from November 12) and trendline levels converge. Immediate resistance is placed near 26,050, and a decisive move above 26,300 could reignite the uptrend in the Nifty 50.

Rupee and Global Markets Add to the Cautious Tone

The rupee ended 4 paise lower at 89.20 against the US dollar, reversing early gains as domestic equity weakness weighed on sentiment.

In global markets:

• S&P 500 futures were little changed
• S&P/ASX 200 futures rose 0.2%
• Japan’s Topix fell 0.3%
• Hong Kong’s Hang Seng gained 0.6%
• Shanghai Composite advanced 0.8%
• Euro Stoxx 50 futures slipped 0.3%

Outlook: Cautious but Constructive Stance on Nifty 50

Analysts remain cautious yet constructive on the Nifty 50. While short-term volatility driven by F&O expiry, FII flows and global uncertainty persists, strong domestic fundamentals, improving earnings visibility into H2 and supportive structural trends continue to underpin the medium-term outlook.

Market experts advise traders to adopt a selective buy-on-dips strategy, focus on stocks showing relative strength, keep leverage controlled and use tight stop-losses. Fresh aggressive long positions, they suggest, should ideally be considered only if the Nifty 50 sustains above key resistance zones with support from global cues and stabilising FII flows.

• Nifty 50
• Bank Nifty
• Sensex

FAQs Nifty Below 25,900 and Sensex Down 314 Points

Why did the Nifty 50 close below 25,900 today despite a strong opening?

The Nifty 50 slipped below 25,900 due to late-hour selling pressure triggered by derivatives expiry volatility, sustained FII outflows, weakness in IT and FMCG stocks, and mixed global cues that limited upside momentum throughout the session.

What are the main reasons behind the Sensex and Nifty 50 decline on November 25?

The decline was primarily driven by monthly F&O expiry-related volatility, persistent foreign institutional investor selling, weakness in heavyweight stocks like ICICI Bank, Infosys and HDFC Bank, along with global uncertainty over US inflation data and Fed rate-cut expectations.

Which technical support levels should traders watch for Nifty 50 in the coming sessions?

Traders should closely monitor the 25,850–25,800 zone near the 20-day EMA as key short-term support. A breakdown below 25,800 may push Nifty toward 25,600, while resistance remains firm at 26,000–26,050 and 26,300 for a trend reversal.

Why did the Bank Nifty end lower even after a stable start?

The Bank Nifty ended lower due to intraday profit booking, subdued sentiment around banking heavyweights and concerns regarding FII flows. Despite early gains, the index was unable to hold above resistance, slipping towards support levels near 58,600.

Which sectors supported the market today despite the fall in Nifty 50?

PSU Banks, Metal, Realty and Pharma provided strong support, gaining between 0.5–1%. These sectors offset some of the pressure caused by declines in IT, consumer durables, media and FMCG stocks.

How did global market trends influence Nifty 50’s weak closing today?

Mixed global trends — including fears of an AI bubble after Nasdaq’s sharp rally, weak European futures and cautious sentiment ahead of US inflation data — contributed to risk aversion, making domestic indices more vulnerable to selling pressure.

Should investors adopt a buy-on-dips strategy when Nifty 50 trades near 25,800 support?

Analysts suggest a selective buy-on-dips approach near 25,800, but only in fundamentally strong stocks showing relative strength. As volatility remains high around expiry and FII activity is negative, traders should use tight stop-losses and avoid aggressive entries until Nifty sustains above 26,000.