Indian equity markets are expected to trade with a cautiously positive undertone on Thursday, February 19, 2026, supported by improving foreign investor participation, constructive global cues, and strengthening technical patterns across benchmark indices.
Sentiment has stabilised following recent consolidation, and early signals from derivative markets indicate a firm opening for the session.
The benchmark indices, the BSE Sensex and the Nifty 50, are entering the session with mild upward momentum. Foreign Portfolio Investors have turned net buyers in February after sustained selling in previous months, injecting fresh liquidity into large-cap stocks and financial counters. This reversal in flows has improved overall risk appetite and provided stability to index heavyweights, particularly in banking and select industrial names. Sustained foreign participation will be critical in determining whether the current rebound develops into a stronger short-term rally.
From a technical perspective, both indices are trading near important resistance zones. The Sensex is holding above key support in the 83,300 to 83,500 range, while resistance is seen near 84,000 to 84,250. A decisive breakout above this zone could extend gains, while failure to sustain momentum may result in range-bound movement or mild profit booking.
The Nifty 50 continues to trade above its immediate support band of 25,650 to 25,700, and if it maintains these levels, the index may attempt to move toward the 26,000 mark in the near term. Market participants are closely watching whether the index can consolidate above breakout levels to confirm continuation of the uptrend.
Banking stocks remain central to overall market direction. The Bank Nifty index has shown signs of emerging from a consolidation phase, with support near 61,000 and resistance around 61,800 to 62,000. A sustained move above resistance would likely strengthen market breadth and reinforce bullish sentiment.
Financials are also reacting to recent regulatory developments from the Reserve Bank of India, which has tightened norms around lending to capital markets. While the broader impact remains contained, brokerage and leveraged segments remain sensitive to policy signals.
“Indian equities are likely to trade with mildly positive bias, extending the steady multi-session recovery seen in recent days,” says R Ponmudi, a senior equity analyst and CEO at Enrich Money.
Global cues are broadly supportive. Asian markets have tracked gains in the United States, particularly in technology stocks, which has improved investor confidence across emerging markets. India continues to be viewed favorably among global institutions, including Goldman Sachs, which has highlighted emerging markets such as India as attractive destinations for 2026 on expectations of structural growth and earnings recovery. These medium-term themes are helping anchor investor confidence despite intermittent volatility.
In the commodity space, changes implemented by the Multi Commodity Exchange of India and the National Stock Exchange of India regarding the withdrawal of additional margins on gold and silver futures may increase trading participation and short-term volatility in precious metals. Strong inflows into gold exchange-traded funds alongside equity inflows indicate that investors are balancing risk-taking with hedging strategies.