Pre-market action: Here's the trade setup for today's session

Indian benchmark indices launched the trading day at a flat rate, but struggled throughout, with large-cap stocks continuing to sell off. Analysts indicate the Nifty's immediate outlook is bearish, and holding below the 24,025 level could trigger a decline towards the key support zone of 23,600-23,500, which sits between a previous major gap area and the July 2026 low.

The momentum indicator, RSI, is diving into the bearish zone, reinforcing the negative trend. In the short term, the index may slide towards 23,700/23,620. Conversely, resistance is forecast at 23,900. The India VIX, a gauge of market fear, jumped 4.5% to 11.16. Today, certain stocks are subject to F&O trading bans, including SAIL, LIC Housing Finance, Inox Wind, and Kaynes.

Foreign portfolio investors bought shares worth Rs 280 crore, while domestic institutional investors purchased Rs 567 crore. The Indian rupee hovered within a tight band on Monday, held up by Reserve Bank of India interventions and driven higher by oil prices amid vessel strikes in the Strait of Hormuz, raising concerns over energy supplies.