In the last three trading sessions, the NSE index has lost 428 points or 1.6 per cent. The 30-pack BSE Sensex has moved southward by 1304 points or 1.5 per cent
Sectorally, the Nifty Bank index also closed in the red for third session, down 261.95 points or 0.44 per cent at 58,960.40 with only two of 10 constituents giving a positive closing. The Nifty Consumer Durables was the top loser as it cracked 1.72 per cent, followed by Nifty Midsmall IT & Telecom and Nifty Midsmall Financial Services. The Nifty IT index closed lower by 0.89 per cent.
The broader indices resumed their corrective phase after a day’s pause with Nifty Midcap 100 and Nifty Smallcap 100 losing 1.12 per cent and 0.90 per cent, respectively.
On the volatility front, India VIX remained subdued to settle 0.36 per cent lower at 10.91, suggesting that the market could continue to move within a consolidation zone.
Ajit Mishra – SVP, Research, Religare Broking, said that markets remained volatile and ended lower, extending the cautious sentiment ahead of the US Federal Reserve’s policy outcome. After a brief positive start, the Nifty index gradually drifted lower through the session and finally closed near the day’s low.
“With all eyes on the US Fed, participants expect a 25-bps rate cut, while the key focus will be on the 2026 dot-plot guidance. Additionally, updates from the India–US trade discussions in New Delhi will remain in the spotlight,” he said.
“Until clarity emerges, we recommend maintaining a stock-specific trading approach, with buying opportunities in private banks, autos, and metals, while also keeping selective short positions as a hedge against potential downside risk,” the expert added.
Nifty Support, Resistance Tomorrow
Nagaraj Shetti, Senior Technical Research Analyst at HDFC Securities, said that the current price action indicates an inability of bulls to sustain the bounce and also sell on rise opportunity.
“Nifty is currently placed at the support of 25700-25600 levels (previous opening upside gap of 12th Nov and also 10-week EMA). A breakdown of this support could possibly open broad-based weakness in the market. However, any bounce back from here could find resistance around 25900-26000 levels,” the expert said.
According to Rupak De, Senior Technical Analyst at LKP Securities, Nifty bulls today revisited Tuesday’s low and once again found support near the 50 EMA. The index has broken below the 50 percent retracement of the previous rise from 25,318 to 26,325, indicating weakness.
In the short term, he said, Nifty is likely to stay under pressure with immediate support at 25,700. A decisive breakdown below this level could open a correction toward 25,610 and 25,530. On the upside, resistance is placed at 25,870 and 25,960-26000.
A reasonable negative candle was formed on the daily chart with long upper shadow. Technically this market action indicates an inability of bulls to sustain the bounce and also sell on rise opportunity. Nifty is currently placed at the support of 25700-25600 levels (previous opening upside gap of 12th Nov and also 10-week EMA). A breakdown of this support could possibly open broad-based weakness in the market. However, any bounce back from here could find resistance around 25900-26000 levels.
Aakash Shah, Technical Research Analyst at Choice Equity Broking, said that Nifty now holds immediate support in the range of 25,600 to 25,650. The index has immediate resistance at 25,850, followed by 25,900.
“25,850 to 25,900 is range that has repeatedly capped upside attempts by Nifty bulls,” the analyst said, adding that the overall tone of market remains cautious to mildly bearish.
On the derivatives front, Call writers added fresh positions of nearly 1.34 crore contracts at 26,000 strike, which establishes it as a stiff resistance. On the other hand, Out open interest of 76.29 lakh contracts was seen at 25,500.
Nifty’s Put-Call Ratio (PCR) has declined to 0.54 from 0.67, signalling heightened caution. The 14-Day RSI is hovering around the 40-mark.
(Disclaimer: The above article is meant for informational purposes only, and should not be considered as any investment advice. ET NOW DIGITAL suggests its readers/audience to consult their financial advisors before making any money related decisions.)
