Weak sentiment may continue
The benchmark index could slip till 71,400-71,200; On the flip side, above 72,100 level, the sentiment could change; Above 7,100pts, the market could move up to 72,385-72,700
Mumbai: On Monday, the benchmark indices witnessed a profit booking at higher levels as BSE Sensex was down by 354 points. Among sectors, Oil and gas, Pharma and Auto indices gained over one per cent whereas Digital index trimmed over one per cent.
Technically, after early morning intraday rally, the Sensex took the resistance at 72,385 and reversed sharply. From the intraday highest point the market corrected over 785 points. In addition, on daily chart, index has formed bearish candle, which supports further weakness from the current levels.
Shrikant Chouhan, head (equity research), Kotak Securities, said: “We are of the view that, as long as the market is trading below 72,100 the weak sentiment is likely to continue.” Below the same, the market could slip till 71,400-71,200. On the flip side, above 72,100 the sentiment could change. Above 7,100, the market could move up to 72,385-72,700 range.
