Mr. Harsh Parekh, Technical Analyst - Bonanza Portfolio
Indian bourses witnessed an extremely volatile session with indices falling for 5th consecutive trading sessions as Nifty closed below 17,000. Among sectors, except oil & gas all other indices ended lower with IT, power, realty and FMCG indices down 2 percent each. BSE midcap and small-cap indices lost a percent each. Both the benchmark indices closed at 16,958 & 56,463 respectively.
Today's session saw nifty continuing the trend with downward bias as no conviction was seen on the upside. After many trading sessions ,Index has again started to trade below its 21, 50 & 100 day EMA moving averages which is a sign to remain cautious on long side. Price took support from its 200 day EMA which is placed near 16,850-17,000 and going forward it seems that nifty will continue to trade with bearish stance, finding immediate support near 16,850 and on the upside, resistance can be faced near 17,250 levels.
On the geopolitical front, Russia's defence ministry said that high-precision air-based missiles had hit 13 Ukrainian positions in parts of the Donbas while other air strikes hit 60 military assets, including in towns close to the eastern frontline which dampened the sentiments of investors.
HDFC, HDFC Life, SBI Life Insurance, HDFC Bank and Tata Consumer Products were among the top Nifty losers. Apollo Hospitals, Coal India, Reliance Industries, ICICI Bank and BPCL were the top gainers.