The Sensex and Nifty were largely unchanged on Monday as investors awaited cues from March-quarter results starting this week, while losses in oil sector overshadowed gains in power stocks.
Software services behemoths Infosys Ltd and Tata Consultancy Services Ltd will kick off the results season on Friday.
Global sentiment was boosted by better-than-expected job growth in March in the U.S. Asian shares inched to seven-month highs.
MSCI's broadest index of Asia-Pacific shares outside Japan gained 0.03 percent.
With shares recording a seventh straight weekly gain, an analyst feels that markets are heading for a consolidation.
"Markets seem sort of tentative so it could be heading to some sort of profit-taking mode this week," said Krish Subramanyam, co-head, equity advisory, at Altamount Capital.
"Financial stocks started cracking towards the end of last week and we could see the Bank Nifty fall to about 29,500."
The banking index is currently up 0.03 percent at 30,094.75.
The broader NSE index was down 0.29 percent at 11,631.75 as of 0622 GMT, while the benchmark BSE index was 0.19 percent lower at 38,788.1.
Lakshmi Vilas Bank's merger approval with Indiabulls Housing Finance Ltd took the private-sector lender's stock up to nearly 5 percent. Indiabulls, which fell over 2 percent in early trade, was trading higher at 0.66 percent.
IT solutions company NIIT Technologies Limited traded 2.8 percent lower after Baring Private Equity Asia agreed to acquire 30 pct stake in the company from for 26.27 billion rupees ($378.12 million).
Bharat Petroleum Corp Ltd and Indian Oil Corp Ltd were among the top percentage losers on the NSE index, shedding 1.7 percent and 1.3 percent, respectively.
International benchmark Brent futures rose to its highest since November 12, 2018
Among the gainers, Power Grid Corporation of India and rose 2 percent and 0.7 percent, respectively, while Infosys and TCS were up 0.4 percent each.
($1 = 69.4750 Indian rupees)