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Below the Quote on Market Wrap 12th June 2025 from Mr. Ajit Mishra - SVP, Research, Religare Broking Ltd

"Markets came under pressure on the weekly expiry day and lost over a percent, following a brief phase of consolidation. The session started on a positive note, but profit-taking in heavyweight stocks across sectors gradually dragged the index lower, with the decline accelerating in the latter half. As a result, the Nifty index closed near the day’s low at 24,888.20. In line with the benchmark trend, most sectors ended in the red, with realty, energy, and auto emerging as the top losers. The broader indices also bore the brunt, each shedding nearly 2%.

The sell-off was triggered by a combination of factors, including renewed geopolitical tensions between Israel and Iran, a rise in crude oil prices, and expiry-related pressure following the breakdown of a key support level. These developments have made market participants more cautious.

Technically, the Nifty has once again approached the support zone of its short-term moving average — the 20-day EMA — which currently lies around the 24,800 mark. A decisive break below this level could lead the index back into a consolidation phase. Given the prevailing uncertainty, we recommend maintaining strict stop-losses in short-term trades, particularly in the midcap and smallcap space. It is also advisable to avoid aggressive long positions until a clearer directional trend emerges."

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