Volumes on the NSE were the lowest since September 12. Technically, the Nifty has formed a lower top formation on daily charts and a long bearish candle on daily charts, which is broadly negative. 17,166 is the next support for the Nifty post, which a sharper fall could ensue.
Here’s what analysts said:
Ajit Mishra, VP – Research, Broking
Markets are finally witnessing pressure after showing resilience for quite some time, and indications are pointing towards further decline. The Nifty index has the next crucial support at 17,100 zone. Since most sectors are trading in tandem with the benchmark, it’s prudent to maintain short positions also. On the other hand, investors should utilise this phase to accumulate quality stocks in a staggered manner.
Amol Athawale, Deputy Vice President – Technical Research, Kotak Securities
With the latest interest rate tinkering by the US central bank, investors have turned risk averse and are dumping shares at will. Traders are also worried about the escalation in the Russia-Ukraine conflict, prompting them to exit equities and park funds in safe haven dollar assets.
Palak Kothari, Choice Broking
Nifty is looking weak on charts that can test 17,150 levels in the upcoming week. A close above 17,700 can show an upside rally. Selling on rising is advisable for the upcoming session.
Rupak De, Senior Technical Analyst at
Nifty has fallen sharply after an indecisive candle on the daily chart. The sharp fall has led the index below the crucial short-term moving average. The momentum oscillator on the daily timeframe is in a bearish crossover. The trend looks negative, which may take the Nifty towards 17,000 over the short term. On the higher end, it has resistance at 17,500.
Osho Krishan, Sr. Analyst – Technical & Derivative Research, Angel One
Considering the recent price action, traders are advised not to carry aggressive overnight bets for a while and should adapt the strategy to follow one step at a time and respect levels on either side. The unfavorable global scenario was one of the major catalysts for the fall in the week; hence, one should stay abreast with global developments and the upcoming key domestic macro data. Also, one can continue to focus on individual stocks as the thematic moves are still playing out well in the market.
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)