The Nifty 50 extended its winning streak for a third consecutive session on Wednesday, February 4, 2026, closing at **25,776.00**, up **48.45 points** or **0.19%**. This steady climb followed a period of initial hesitation where the index opened sharply lower but witnessed a rapid recovery as buyers stepped in at lower levels. Market sentiment remains supported by a landmark trade agreement recently sealed between India and the US, alongside positive cues from the Union Budget 2026. Domestic institutional investors and foreign portfolio investors (FPIs) turned net buyers, with FPIs purchasing equities worth over **5,236 crore** in a single day. The IT sector faced a significant "SaaSpocalypse," with the Nifty IT index plunging nearly **7%**. This marked its worst single-day crash since March 2020, wiping out approximately **2 lakh crore** in market value. Major laggards included Infosys, down **7.3%**, and TCS, which fell by **7%**. Despite the tech selloff, other sectors gained momentum. The broader market outperformed, as the Nifty Midcap 100 rose **0.56%** and the Smallcap 100 climbed **1.22%**. Key gainers included Trent and Eternal, both surging over **5%**, while Power Grid and NTPC also added strength to the benchmarks. Technically, the Nifty continues to trade in a defined range. Immediate resistance is pegged at the **25,900–25,950** zone. On the downside, strong support is established between **25,600 and 25,650**. Sustaining above the **25,750** mark is considered a positive signal for near-term momentum. Looking ahead, investors are closely watching the Reserve Bank of India’s (RBI) monetary policy decision scheduled for February 6, 2026. While the central bank is expected to maintain current interest rates, any change in stance or dovish commentary could provide the next major trigger for market direction. Corporate earnings also remain a focal point. Market participants are tracking Suzlon Energy, which is set to declare its Q3 results on February 5. Other sectoral highlights include the Nifty Pharma index, which has seen a boost from international trade developments, and the Auto sector, which continues to show resilient demand.