Mumbai : The Indian stock market benchmark indices, Sensex and Nifty 50, traded flat amid choppiness on Tuesday, as sentiment remains cautious over the elevated crude oil prices and geopolitical tensions in the Middle East.

The Sensex was flat at around 73,600 level, while the Nifty 50 traded with marginal gains, above 22,750. The Bank Nifty index traded 0.2% higher above 54,500 level.

Broader markets outperformed the frontline indices as the Nifty Smallcap 100 index jumped oover 2% and the Nifty Midcap 100 index gained 1%.

Among sectors, Nifty IT, Nifty FMCG and Nifty Oil & Gas indices witnessed losses, while Nifty Auto, Nifty Pharma, Nifty Realty, Nifty Metals, Nifty PSU Bank and Nifty Media were in the green.

Market volatility remained high due to the weekly and monthly derivatives expiry, while focus will also be on the US Federal Reserve's monetary policy meeting and the ongoing Q2 results.

In the currency market, the Indian rupee opened 2 paise higher at 95.17 against the US dollar as compared with its previous close of 95.19 level.

Investors remain cautious amid high crude oil prices, persistent geopolitical tensions and continued rupee weakness. Meanwhile, the ongoing Q2 results seasons will also be eyed for stock specific movements.

“Brent crude remaining above $114 and the US 10-year bond yield hovering around 4.97% continue to be near-term headwinds for the market. FIIs will remain in a risk-off mode in this adverse macro setting". 

However, the improving fundamentals of the corporate sector as reflected in Q2 earnings and the robust domestic fund inflows will continue to support the market,” said Dr. V K Vijayakumar, Chief Investment Strategist, Geojit Investments Ltd.

Nifty 50 continues to face selling pressure at higher levels, with 22,800 zone remaining a key resistance.

According to Ponmudi R, CEO of Enrich Money, a sustained breakout above this level is essential to improve the near-term technical structure and support further upside. Until the index reclaims this hurdle, selling pressure is likely to persist.

"On the downside, 22,500 represents the immediate support level. A sustained break below this level could intensify bearish momentum and expose the index to further downside. Meanwhile, the RSI remains in the mid-40s, indicating subdued momentum and a lack of strong buying conviction," said Ponmudi R.

According to him, the near-term outlook remains cautious, with the 22,800 resistance zone likely to determine the next directional move.

The Nifty options open interest (OI) data shows cumulative call OI of 23.79 crore against put OI of 26.61 crore, indicating a higher concentration of put positions overall. 

“On the strike-wise OI chart, significant call OI concentration around 23,000 suggests overhead resistance, while notable put OI around 22,400–22,500 points to an important support area. 

These positions suggest that the 22,500 zone will be important in sustaining the current recovery,” said Ponmudi R.