Mumbai, Jan 9 (IANS): Key Indian equity indices traded on a flat note amid volatility during the mid-afternoon session on Tuesday.

According to market observers, positive global cues, along with optimism over the upcoming quarterly earnings result season, kept investors' sentiments buoyed.

However, heavy selling pressure in automobile, capital goods and healthcare stocks capped most of the gains of the key indices.

Around 12.45 p.m., the wider Nifty50 of the National Stock Exchange (NSE) traded lower by 5.70 points or 0.05 per cent at 10,617.90 points.

On the other hand, the barometer 30-scrip Sensitive Index (Sensex) of the BSE, which opened at a high of 34,431 points, traded at 34,388.96 points -- up 36.17 points or 0.11 per cent -- from its previous session's close.

The BSE market breadth was bearish with 1,631 declines and 1,241 advances.

"Benchmark indices held trade set-up in green after hitting record highs as investors look forward for corporate earnings and Union Budget," Dhruv Desai, Director and Chief Operating Officer of Tradebulls, told IANS.

On Monday, the key equity indices, along with the broader market indices, closed at record highs on the back of healthy buying from foreign funds, along with optimism over the upcoming quarterly earnings result season and strong global cues.

The Nifty50 gained 64.75 points or 0.61 per cent to close at a new high of 10,623.60 points, the Sensex closed at a fresh high of 34,352.79 points -- up 198.94 points or 0.58 per cent.