INSUBCONTINENT EXCLUSIVE:
It was a terrible Thursday for Dalal Street
Feeble global cues forced Nifty to close with a strong bearish candle after a gap-down opening
There was a widespread underperformance in equity markets across the globe and India was no exception
Before closing 1.69 per cent down at 10,601, Nifty shuttled between a high and low of 10,722 and 10,588, respectively.
US markets were
closed on Wednesday to honour former President George HW Bush, who passed away last Friday
“Nifty cracked sharply as it opened below its 200-DMA at 10,750
The near-term oscillators are in the sell mode
Key internals of Indian market weakened on the back of poor sentiments
The index may fall towards 10,470-10,360,” said Arun Kumar, Market Strategist, Reliance Securities.
Milan Vaishnav, Technical Analyst,
Gemstone Equity Research and Advisory said a big bearish candle emerged just below the 200-DMA and this has reinforced the importance of the
200-DMA as resistance over coming days
“As we approach Friday’s trade, it would be extremely crucial for the market to defend the 10,572 level,” he said.
The index has been
making lower highs and lows since last three sessions
Mazhar Mohammad, Chief Strategist – Technical Research Trading Advisory, Chartviewindia said, “All the rallies should be utilised to
create fresh shorts with initial targets placed around 10,191
For the time being, in an ideal scenario, the upside shall be capped at 10,747 but as the market heads for a binary event, traders should
not be surprised if the bulls do not respect the 10,747 level on positive news flow
In any case, as of now, the 10,941 level looks like the intermediate top,” he said.
Momentum indicator MACD charts show as many as 98
stocks looked weak on the daily charts on NSE as the technical indicator signalled a downward crossover, or bearishness, hinting at possible
downsides in the coming sessions
Some of the stocks on the list included Adani Power, Hindalco, ITC, IDFC Bank, DLF and Escorts.
On the other hand, Mastek, JB Chemicals,
Godawari Power and Mastek were among 18 stocks that made bullish crossovers on the daily charts.
