It seems like either investors are not in good mood or they’re so cautious about upcoming news flows. Nifty reflected the bearish sentiment precisely, when it fell from 7500 – exactly 2 hours before the market close. Shares fell more than 1 percent; it’s a biggest daily decline since last 2 weeks. From the perspective of Macro, concerns about global economic growth are influencing large-scale investors.
The selloff started late in the session, NSE index lost 1.36% – biggest decline since Jan 20. BSE index ended 1.34% lower. Nifty consolidated around 7500, just above multiple price points which is created by last week’s sluggish price action. Around 2.30, just an hour before the market close – Excessive selling pressure dominated the price movements, resulted in breaking the price points or support levels. It’s obvious to say that price points or support levels 7480, 7465, and 7450 are radar levels. Radar levels are nothing but, support or resistance levels widely touted by tips providers and Medias hence; they’re focused by large number of market participants. Price action around radar levels will be sharp and volatile.
Selling pressure’s domination continued till 3.15, that’s 15 minutes before the market close. Nifty perfectly paused at support level 7365, which is also a long-term support level. Market ended with a biggest decline since Jan 21 in terms of liquidity. Watch for Price action around 7365.00. Until we see a dramatic movement upside; it’ll be hard for intraday traders to change their bearish sentiment.
