Markets ended with steep losses on Monday. FMCG, auto realty and PSU bank stocks sell-offs triggered the drop in the Market. Cautious investors monitored developments amidst increased oil prices and ongoing geopolitical tensions. Investor sentiment also remained under pressure due to persistent foreign institutional selling in the wake of MSCI rebalancing-related outflows witnessed last week.
The BSE Sensex declined 508.40 points or 0.68 percent to close at 74,267.34, while the NSE Nifty settled at 23,382.60, down 165.15 points, or 0.7 percent. Selling intensified by the latter half of the session, with Nifty registering its intraday low of 23,357.95.
Nifty Midcap 100 dropped 1.45 percent and Nifty Smallcap dropped 0.88 percent lower at closing.
Nifty FMCG fell 2.30 percent, followed by Nifty PSU Bank dropping 1.85 percent and Nifty Auto declining 1.70 percent. Nifty Private Bank dropped 0.98 percent, Nifty Pharma dropped 0.54 percent. Top losers in Nifty constituents were Hindustan Unilever, ITC, NTPC, Shriram Finance, and Tata Consumer Products.
Sachin Gupta, VP – Research, Technical Research, at Choice Broking Private Limited said, “From a technical perspective, immediate support is placed in the 23,150–23,200 zone, while resistance is observed in the 23,480–23,550 range. The Relative Strength Index (RSI) stands at 40.27, indicating weakening momentum and suggesting that the index is approaching the lower end of the neutral zone. The volatility index, India VIX, rose by 2.21% to close at 16.54, indicating an increase in market volatility and a cautious approach among market participants. In the derivatives segment, notable call writing was observed at the 23,500 and 23,600 strikes, while put writing was concentrated at the 23,400 and 23,200 levels, indicating immediate resistance near higher levels while support remains positioned around lower strikes.”
On the 30-share Sensex pack, top losers were HUL, ITC, NTPC, Mahindra and Mahindra, Kotak Mahindra Bank and Bajaj Finance .
Hitesh Tailor, Technical Research Analyst at Choice Equity Broking Private Limited said, “Technically, Sensex continued to face resistance near the 75,300–75,400 zone and witnessed a sharp reversal after the gap-up opening. The index closed near the day’s low, indicating that bears maintained control throughout the session. Immediate support is now placed around 73,500–73,700, while resistance is seen near 74,800–75,000. A sustained move below the support zone could trigger further weakness, whereas a recovery above resistance may improve short-term sentiment.”
