Snapping the six-session long gaining spree, the S&P BSE Sensex was trading over 150 points lower, while broader CNX Nifty was ruling below its key 7,450-mark.
The headline indices traded flat even as Asian stocks edged up after New Zealand surprised markets with a rate cut, keeping investors primed for more stimulus from the European Central Bank later in the day.
At 10:10 am, the 30-share index was trading at 24,617, down 176.79 points, while broad-based 50-share index was quoting 7,485, down 46.45 points.
Market breadth turned negative with 17 of the 30 Sensex components trading in red.
Infosys was the worst performing stock on both the benchmark indices and lost over 2 per cent.
“The ongoing momentum is very strong on the upside and thus, traders should refrain from shorting till the definite signal emerges. On the upside, we expect this rally to extend towards 7,600; whereas, intraday support levels are seen at 7,500-7,420 levels,” said Angel Broking in a research note.
Among Asian markets, Japan’s Nikkei gained over 1 per cent, Hong Kong’s Hang Seng index added 0.62 per cent, while China’s Shanghai Composite bucked the trend to lose 0.63 per cent.
Overnight, US markets closed marginally higher led by recovery in oil prices. The Dow Jones industrial average rose 36.26 points, or 0.21 per cent, to 17,000.36, the S&P 500 gained 10 points, or 0.51 per cent, to 1,989.26 and the Nasdaq Composite added 25.55 points, or 0.55 per cent, to 4,674.38.