Bears dominated the first trading session of the week, forcing benchmark indices to close with losses. S&P BSE Sensex slumped 364.91 points or 0.67% lower at 54,470 while the NSE Nifty 50 fell 109 points or 0.67% to settle at 16,301. Power Grid was the top Sensex gainer, surging 3.44%, followed by HCL Technologies, Bajaj Auto, Infosys, and Maruti Suzuki. Reliance Industries was the worst-performing Sensex constituent on Monday, falling 3.97%, followed by IndusInd Bank, and Nestle India. Bank Nifty closed 0.91% lower while India VIX soared higher to close above 22 levels. Broader markets fared worse than benchmarks with most midcap and small-cap indices ending nearly 2% lower each.
Deepak Jasani, Head of Retail Research, HDFC Securities –
“With LIC IPO receiving a good response, traders will bring the full focus back to the secondary markets. The higher listing of Campus IPO could improve sentiments. The Russian President’s address in the course of May 09 celebrations did not bring any fresh negatives. Nifty could remain in the 16142-16422 band in the near term.”
Ajit Mishra, VP – Research, Religare Broking –
“We’re not seeing any respite in the global markets, especially the US, and we’re largely reflecting the same trend at our end too. Besides, mixed Q4 earnings are further adding to the negativity. We reiterate our view to focus on shorting opportunities on the rise until we see some sign of reversal. On the index front, support is intact at 16,000 in Nifty and the 16,550-16,650 zone would act as immediate hurdle.”
Mohit Nigam, Head – PMS, Hem Securities –
“Nifty 50 closes its day at good resistance zone of 16,300 and if index holds below this mark for coming trading sessions then we may see more downward move towards 16,000-15,800 mark which are another support zone on the downside. Crucial support for Nifty 50 is 16,000 while Nifty may face some resistance at 16,500.”
Palak Kothari, Research Associate, Choice Broking –
“Technically, The Nifty has formed a Doji Kind of candlestick pattern on a daily chart which indicates indecision between buyer and seller. Furthermore, the Nifty has taken a support at 78.60% Fibonacci Retracement level of its previous up move which shows a northward movement towards its upside level of 61.8% F. R Level. Moreover, Nifty has taken support from the lower band of Bollinger on an hourly chart which is a sign of short-term reversal in the counter. However, the momentum indicators STOCHASTIC is trading with positive crossover as well as divergence has been seen on an hourly chart which indicates bounce back momentum. The Nifty may find support around 16000 levels, while on the upside 16600 may act as an immediate hurdle for the Nifty. On the other hand, Bank nifty has support at 33800 levels while resistance at 35000 levels.”
Kunal Shah, Senior Technical & Derivative Analyst at LKP Securities _
“The Bank Nifty index yesterday filled the previous gap of 34000 and needs to sustain above this level for a relief rally. The immediate resistance on the upside stands at the 34600-34800 zone and a break above this will lead to short covering towards the levels of 35500. The index, however, if breaks the level of 34000 will witness further downside towards the levels of 32500.”
Vinod Nair, Head of Research at Geojit Financial Services –
“The market continued its downward rally amid lingering concerns over the weakening rupee, global interest rate hikes and tightening lockdowns in China. The relentless rise in the US dollar index owing to interest rate hikes and rising US treasury yield hammered investor’s risk appetite. Strong US jobs data indicated possibilities of faster rate hikes forcing investors to opt for safe-haven assets.”