Indian Stock Market Next Week (March 2-6, 2026): Sensex, Nifty to Trade Sideways Amid US, Israel-Iran Tension

Indian equity markets are expected to trade with a sideways-to-cautious bias in the coming week starting March 2, 2026, as investors grapple with persistent global volatility, geopolitical uncertainty, and sector-specific disruptions. While domestic fundamentals continue to offer underlying support, experts warn that near-term market direction will remain heavily influenced by macro developments and institutional flow trends.

Stock Market Outlook Next Week From 2 to 6 March 2026: Sensex, Nifty Weekly Prediction

"Indian equities are likely to trade sideways with a cautious bias in the week ahead, against the backdrop of sustained global volatility. Although domestic growth trends and sectoral traction provide a degree of support, the direction of institutional flows and ongoing macro developments will largely shape near-term market movement," said Siddhartha Khemka, Head of Research, Wealth Management, Motilal Oswal Financial Services Ltd.

Khemka recommends a strategic tilt toward domestically oriented sectors that offer stronger earnings visibility and lower exposure to AI-led disruption. Financials, insurance, FMCG, and healthcare appear better positioned, supported by steady demand conditions and healthy balance sheets. He also highlighted selective opportunities in cyclical segments linked to capital expenditure and industrial activity, particularly where order books and execution visibility remain strong.

The Nifty 50 declined 1.54%, shedding 392 points to close at 25,178.65, while the BSE Sensex fell 1.84%, losing 1,527 points to settle at 81,287.

On the sectoral front, Nifty Realty and IT emerged as the worst performers, sliding 4.90% and 4.40% respectively. In contrast, Metal, Healthcare, and Pharma provided relative support, advancing around 2-2.2%.

From a flows perspective, FIIs remained net sellers for the third consecutive week, offloading equities worth Rs 4,630 crore, while DIIs absorbed the pressure, buying equities worth Rs 24,312 crore, reflecting resilient domestic participation.

Impact of US-Iran Tension on Indian Stock Market

According to Dr. Ravi Singh, Chief Research Officer at Master Capital Services Ltd, geopolitical tensions between the US and Iran unsettled global markets, while Anthropic's latest AI plugin releases triggered a sharp selloff in domestic IT stocks as investors reassessed competitive and earnings risks.

Nifty 50 Weekly Prediction From March 2 to 6, 2026

Technically, the Nifty 50 has breached its 25,300 support level and the 200-day EMA, indicating a bearish shift in short-term momentum. "For the coming week, the 25000 psychological mark stands as the make-or-break level and a breakdown here could drag prices toward the 24800 area. On the upside, 25350 and 25600 now act as stiff hurdles. Strategy remains "sell on rises" until the index decisively reclaims 25600. Expect continued volatility as the market searches for a stable bottom," noted Dr Singh.

Sensex Outlook Next Week: Volatility to Continue

With the Sensex mirroring Nifty's weakness, experts expect continued volatility as markets search for a stable base. Any sharp recovery attempts may face selling pressure unless backed by supportive global cues and sustained domestic buying.

Bank Nifty Outlook: Support Under Threat

Bank Nifty also faced intense selling pressure, closing the week down 1.08%. The index has slipped below its 21-day EMA (60,614) and is currently testing a key rising trendline support. Indicators such as RSI slipping toward 50 and a bearish MACD crossover point to weakening momentum.

"For the upcoming week, the 60000 psychological mark serves as an important support level and a decisive breakdown could drag the index toward the 59500 support zone. On the upside, 61000 and 61500 act as immediate supply zones. Strategy remains sell on rise until the index decisively reclaims the 61000 level," said Dr Ravi Singh.

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