Domestic market is expected to remain volatile ahead of derivatives expiry as investors await fresh cues from US President Donald Trump's visit next week, according to analysts.
Market participants will also be eyeing GDP estimates and infrastructure data, due to be released on Friday.
"In the near-term, the volatility could increase given the expiry of February futures and options (F&O) contracts on Thursday and the expectations of news flow on business deals and/or trade deals during the President Trump visit to India," said Gaurav Dua, Sr VP, Head – Capital Market Strategy & Investments, Sharekhan by BNP Paribas.
Trump is scheduled for a two-day visit to India from February 24.
Analysts expect the broader market to continue to outperform benchmark indices on the buying interest by domestic institutions.
China is also expected to slowly limp back to normalcy as more factories resume work and the raw material constraints reduce, said Vinod Nair, Head of Research at Geojit Financial Services.
Amar Ambani, Senior President and Head of Research, YES Securities, said: Markets will gradually harbour expectations that Chinese efforts to stimulate the economy will frontload demand into the second quarter of the year.
However, metals and global commodities are likely to underperform due to disruptions caused in global trade, Dua said.
During the past week, the Sensex fell 86.62 points or 0.21%, while the Nifty shed 32.65 points or 0.26%.
Financial markets remained closed on Friday on account of 'Mahashivratri'.