The Indian stock market faced a significant downturn on February 24, 2026, as benchmark indices snapped a two-day winning streak. The Nifty 50 tumbled 288.35 points, or 1.12%, to close at 25,424.65. Simultaneously, the BSE Sensex plummeted 1,068.74 points, or 1.28%, finishing the session at 82,225.92. Technical scans from StockEdge revealed a notable shift in long-term momentum, as 12 prominent stocks from the Nifty 500 pack slipped below their 200-day Daily Moving Average (DMA). This indicator is widely used by institutional investors to separate long-term uptrends from potential bearish reversals. Among the high-profile names crossing below this critical threshold was Hyundai Motor India, which closed at 2,159.90 against its 200 DMA of 2,251.04. Real estate major Sobha followed suit, ending at 1,455.60, while telecom giant Bharti Airtel slipped to 1,941, falling under its long-term average of 1,975.65. The technology sector faced the steepest selling pressure, fueled by global concerns over AI-driven disruptions to traditional outsourcing models. Tech Mahindra led the laggards with a 6.3% drop, while HCL Technologies fell 5.8%. Other major IT firms like Infosys and TCS also saw declines exceeding 3.5%. Financial and insurance sectors were not immune to the volatility. One97 Communications (Paytm) settled at 1,131.70, dropping below its 200 DMA of 1,150.33. Other notable technical breaches included ICICI Lombard, Metropolis Healthcare, and IIFL Finance, all of which finished the day below their long-term trend lines. Market sentiment was further weighed down by persistent geopolitical tensions in the Middle East and uncertainty regarding global trade policies. These factors pushed oil prices higher, compounding concerns over cost pressures for Indian industries. Despite the broad-based sell-off, defensive rotation was visible in select pockets. NTPC gained 2.1% and Hindustan Unilever rose 0.8%, as investors sought safety in utilities and consumer staples. Gold prices also reacted to the global risk-off sentiment, with MCX Gold trading near 159,849 per 10 grams. Currency markets remained relatively stable, with the USD/INR pair hovering around 90.95. Institutional activity showed a divergence, with Domestic Institutional Investors (DIIs) providing some support against foreign outflows, though it was not enough to prevent the sharp correction in the primary indices.