The domestic market continued to face heavy selling as concerns over a global recession and an escalating US-China trade war spoiled investors' sentiment.
The Sensex fell 267.64 points or 0.72 per cent to settle at 37060.37, while the Nifty 50 Index fell 98.30 points or 0.89 per cent to settle at 10918.70. On the BSE, 651 shares rose and 1,825 shares fell. A total of 150 shares were unchanged. The S&P BSE Mid-Cap Index fell 1.32 per cent, while the S&P BSE Small-Cap Index plunged 1.43 per cent.
Technical View
"Index closed a day at 10919 with loss of 98 points forming bearish candle for third consecutive day. Index still managed to close above 10900 zone hinting if managed to hold above 10900 Index can again be in same range of 10900-11200 zone for some more sessions and any decisive break below 10900 can see sharp cuts towards 10800 zone. Immediate support for the Nifty is coming near 11865-10800 zone and resistance is coming near 10980-11040 zone. The Nifty Bank closed a day at 27719 with loss of 263 points, immediate support for the Nifty Bank is coming near 27580-27400 zone and resistance is coming near 27900-28100 zone," said Rohit Singre, Senior Technical Analyst, LKP Securities.
Market View
The Nifty is down for the third consecutive day amid negative global cues. Though domestic cues had rumors of cut in Corporate Tax cut to 25 per cent and scrapping of surcharge on tax payments but the sentiments were largely bearish.
"The Nifty is already poised with negative sentiments as the latest quarterly numbers were not that good with most the Nifty 50 companies missing the estimates. The rate cuts have not been able to rejoice as well since the market is concerned about a slowdown that is shadowing over the global markets. We maintain our bearish view with lower targets of 10800 - 10750," said Mustafa Nadeem, CEO, Epic Research.
"In the domestic markets, investors are pinning hopes on any stimulus/measures from the government to lift the sentiments. On the global front, investors may take cues from FOMC minutes which will release on Wednesday. Meanwhile, we continue to remain cautious on the markets in the near-term. We recommend investors should utilize the market correction to accumulate fundamentally strong stocks," Ajit Mishra Vice President, Research, Religare Broking said.
