Weak Sentiment Likely To Continue

Mumbai: In the last session of week, the benchmark indices witnessed selling pressure at higher levels. BSE Sensex was down by 1,047 points. Among sectors, the Realty, Tourism, and PSU Bank indices lost the most, with Realty declining 6, Tourism 4.45 , and PSU Banks correcting 4.22 percent . The Auto Index was the top gainer, rallying 1.7. During the week, the market consistently faced selling pressure at higher levels. Technically, it has formed a long bearish candle on weekly charts and is also trading near the 200-day SMA (Simple Moving Average) support zone.

Amol Athawale, V-P (technical research), Kotak Securities, said: “We believe that as long as the market remains below the 79,900 level, weak sentiment is likely to continue. On the downside, it could retest the 78,800 level. Further downward movement may continue, potentially dragging the market to 78,200. On the flip side, a move above 79,900 could signal a pullback rally. Above this level, the market could bounce back up to 80,500-80,800.”

Prashanth Tapse, senior V-P (research), Mehta Equities, said: “Domestic factors continued to weigh on Indian markets even as global indices stayed firm, as rising tension due to Indo-Pak conflict prompted investors to flee local equities. Traders don’t want to get caught off guard by risking their investments as any escalation in war during the weekends could trigger major selling starting next week.”