Bears chocked Dalal Street’s restoration try on Tuesday with fag-end promoting on Dalal Street that pushed headline indices and broader markets decrease. S&P BSE Sensex tanked 703 factors or 1.23% to shut at 56,463 factors whereas the NSE Nifty 50 index shed 215 factors or 1.25% to settle at 16,958. Analysts see the Russia-Ukraine battle as a significant purpose behind the large fall in Sensex and Nifty together with weak spot on technical charts. RIL zoomed 3.16% as the highest gainer on the index, adopted by ICICI Bank. HDFC tanked 6%, accompanied by HDFC Bank, and ITC. Bank Nifty was down 1% on closing, broader markets mirrored the losses. The risky closing minutes of commerce pushed India VIX index 2.2% greater.
Nagaraj Shetti, Technical Research Analyst, HDFC Securities –
“A long negative candle was formed on the daily chart, which indicates an attempt downside breakout of the support 17000-16800 levels. The display of violent declines in the last two sessions indicates steep downtrend is on the way. Previously, the area of 17000-16800 levels has witnessed larger movement during upside and the downside breakouts in the past and the sharp move has occurred on both sides. The overall chart pattern of Nifty indicates a decisive downtrend. A move below the support of 16800 levels could open the door down to lower 16200-16000 levels in the near term. Any pullback rally could find resistance around 17100 levels.”
Rupak De, Senior Technical Analyst at LKP Securities–
“The weakness remained in the market as the benchmark index extended its loss during the day. On the higher end, 50EMA remained a resistance. On the lower end, a support zone is visible at 16800-16600, where an immediate pause in the correction may be seen. The overall trend looks a bit negative as long as the index remains below 17000.”
Sumeet Bagadia, Executive Director, Choice Broking –
“On the technical front, the Shooting Star Pattern is observed on the weekly chart, suggesting Index to be on the weaker side. On the daily chart, Nifty ended the session below 200 days Simple Moving Averages indicating the same can show more downside movement. According to Fibonacci retrenchment, the next immediate support is placed at 16600 level. At present, the index is having support at 16600 levels while resistance is placed at 17300 levels. On the other hand, Bank nifty has support at 35500 followed by 35000 levels while resistance at 37200 levels.”
Mohit Nigam, Head – PMS, Hem Securities –
“Nifty 50 closes its day below good support zone of 17,000 and if index holds below 17,000 mark for coming trading sessions then we may see more downward move towards 16,800-16,500 mark which are another support zone on the downside. The market breadth was skewed in the favour of bears. About 1,190 stocks advanced, 2,221 declined and 125 remained unchanged. In the 50-share pack, Apollo Hospital was the biggest gainer, up 5.75% per cent. HDFC was the top loser in the pack, down by 5.45 per cent. HDFC Life, SBI Life and HDFC Bank were other top losers in the Nifty 50 pack. Crucial support for Nifty 50 is 16,800 while Nifty may face some resistance at 17,500.”
Vinod Nair, Head of Research at Geojit Financial Services –
“Intensification of geo-political tension and hyperinflation as crude & metal price rises worried the market. The Indian IT sector continued to lead the downtrend following sectorial headwinds highlighted in weak Q4 results. Quick sell-off was witnessed during the closing hours led by banking stocks due to FII selling as global market weakened.”
Ajit Mishra, VP – Research, Religare Broking –
“We reiterate our cautious stance on the market as global cues remain unsupportive. Also, the weak start of Q4 earnings on the domestic front remains a concern for participants. In the meantime, investors would continue to track updates regarding Russia-Ukraine and currency movement. Investors are suggested to be very selective in picking stocks.”
Source: www.financialexpress.com”