Cyprus bail-out triggers sell-off in Indian Markets on Monday - Nirmal Bang

Indian markets closed lower on Monday tracking sell-off in Asian markets triggered by bail out of Cyprus. The monetary policy interest rate decision would be keenly watched out for. The Euro zone struck a deal to hand Cyprus a bailout worth 10 billion euro, but demanded depositors in its banks forfeit some money to avoid bankruptcy. Euro zone ministers forced Cyprus savers, to pay up to 10% of their deposits to raise almost Euro 6 billion.

At the close, the benchmark 30-share index, BSE Sensex lost 134.36 points or 0.69% at 19,293.20 with 24 components registering drop. Meanwhile, the broad based NSE Nifty went down by 38.80 points or 0.66% at 5,833.80 with 42 components posting drop.

Nifty has declined below the crucial levels of 5,900 and has closed below it. The index faces crucial hurdles at 5,920 levels on the upside, expect selling pressure to continue at higher levels. The index has a crucial support at 5,800-5,790 levels and close below one can expect decline towards the 5,700 & 5,640 levels in the near term.

Nifty has an immediate support at 5,800 and on a decisive Close below expect declines to 5,700 levels.

The Bank Nifty has closed below the important support of 12,800 levels and close below 12,550 & 12,500 levels one can expect further weakness and declines to 11,350 levels. There is a strong resistance at 12,780 & 12,820 levels on the upside where selling pressure is expected.

Source : Equity Bulls

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