The market ended with modest losses after choppy trading, with the Sensex closing 176 points, or 0.52 per cent lower while the Nifty shed 52 points, or 0.51 per cent, to settle at 10,198.

The mid- and small-cap segments performed better. The BSE Mid-Cap Index rose 0.91 per cent and the Small-Cap rose 0.94 per cent.

Among the sectoral indices on the BSE, IT (up 1.71 per cent), Teck (1.66 per cent) and Capital Goods (0.95 per cent) outperformed the Sensex.

Technical view

Sameet Chavan, chief analyst-technical & derivatives, Angel Broking, said: “It was clearly a day of disappointment for the momentum traders after seeing Monday’s massive intraday rally. The real action was seen outside the index as many individual pockets continued their surge during the day. As far as the index is concerned, we may call it a breather and hence, going ahead, all eyes would be on two key intraday supports i.e. 10,160 and 10,120. As of now, we believe these levels would be defended and any intraday dip towards it is likely to get bought into. On the flipside, Tuesday’s high of 10,285 would be seen as a crucial hurdle and a sustainable move beyond this would unfold further room to test 10,400-10,440 levels in the days to come. “At this juncture, traders are advised to keep a note of all above mentioned levels and should ideally continue focusing on individual stocks (especially from the mid-cap universe) that are providing better trading opportunities.”

Market view

VK Sharma, head PCG & capital markets group, HDFC Securities, said: “The market, which closed with a flourish on a plethora of positive news on Monday, consolidated its gains on Tuesday. The Nifty back pedalled 50 odd points as the US indices have closed sharply lower on concerns that the Sino-US trade wars may aggravate further. The Nifty PSU Banks is on a roll and was the highest gainer on Tuesday. The Supreme Court’s nod for allowing power companies to amend PPAs is likely to help PSU banks recover from non-performing assets in this sector. IT, pharmaceutical stocks rose as the depreciating rupee enthused investors to get back to these exporting stocks.