The markets opened on a jittery note and stabilised mid-session, only to surrender the gains at close. Profit-taking by day traders took its toll as the benchmark indices closed off their intraday perches.

Traded volumes were lower as the retail segment refrained from big ticket trades. The market breadth was marginally positive as the combined exchange ratio was 1734 : 1707.

The derivatives data for the previous session indicated an expected unwinding of positions due to the market meltdown on Friday.

The index has closed at the median point of the intraday range as the profit sales and unwinding provided the overhead resistance as predicted earlier.

The intraday support forecast for Monday at the 4376 held as the Nifty bounced higher from the 4403 levels. The coming session is likely to witness a range of 4496 on advances and 4384 on declines.

This support remains a critical juncture for the bulls to watch out for as a retracement support as per Fibonacci ratios. Watch out for traded volumes and market breadth, as the market approaches this threshold in the coming few sessions.

The outlook for the market on Tuesday is laced with caution as upsides will continue to be calibrated on account of overhead supply and short selling. Watch the overseas cues and trade on light exposure.