Stock market: On January 9, Indian benchmark indices fell and Nifty fell below 23,550. At the end of the trading session, Sensex closed at 77,620.21, down 528.28 points or 0.68 per cent, and Nifty closed at 23,526.50, down 162.45 points or 0.69 per cent. Today about 1175 shares rose, 2610 shares declined and there was no change in 109 shares. Shriram Finance, ONGC, Tata Steel, Coal India, BPCL were among the biggest fallers on Nifty, while HUL, Britannia Industries, Nestle India, M&M and Bajaj Auto were among the risers.
Except FMCG, all other indices closed in the red. In which Capital Goods, IT, Metal, Oil & Gas, PSU Bank, Power and Realty closed down by 1-2 per cent, BSE Midcap and Smallcap indices fell by 1-1 per cent.
Aditya Gaggar, Director, Progressive Shares Says that this trading session was difficult for the market. The index continued its decline and touched the previous session’s low. Today Nifty closed in the negative zone of 23,526.50 with a fall of 162.45 points. Except FMCG, almost all sectors closed in the red. Realty and energy sectors performed the worst. If we look at the performance of the broader market, the midcap indices followed in the footsteps of the frontline indices. While small caps also closed down.
If we look at the daily chart, Nifty is currently at its important support level around 23,500. If this support is broken then Nifty may fall to the next support level of 23,260, which matches its previous swing low. On the other hand, to start the uptrend again, Nifty will need to go above 23,800-23,900 range.
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Vatsal Bhuva of LKP Securities Says that Nifty closed slightly above its important support at 23,500 on Thursday. It formed a bearish candlestick below the 200-day EMA. This is an indication of the feeling of caution prevailing in the market. If Nifty goes below 23,500 then the effect of selling strategy will be seen on the market surge. Due to which further decline is expected. On the contrary, if Nifty manages to stay above 23,500 then consolidation will be seen in it.
In the short term, important support is visible for Nifty at 23500. Whereas on the upside, resistance is visible at 23800 which is limiting any upside. Traders should keep a close eye on these levels as these levels will play an important role in determining the direction of the index.
Nifty trend: Nifty closed slightly above its important support at 23,500 on Thursday. It formed a bearish candlestick below the 200-day EMA
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