Indian equity indices opened Monday’s trading session on a lower note. The NSE Nifty 50 opened 196.25 points, or 0.86%, lower at 22,733, while the BSE Sensex declined 614.65 points, or 0.81%, to open at 75,324.56.
The GIFT Nifty implied that the markets would open on a higher note. It was up 50.50 points, or 0.22%, at 23,982. During the pre-open session, the Nifty 50 was down 119.35 points, or 0.52%, at 22,809.90, while the Sensex was down 297.80 points, or 0.39%, at 75,641.41.
“The fact is that a modest single-digit earnings growth doesn’t deserve high valuations. This is the basic reason behind the relentless FII selling which has impacted the market. Appreciating dollars aggravated the problem,” said V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services. Only indications of an earnings recovery and a declining dollar can reverse the weakening market trend. This may happen soon.
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Talking on the technical part, Akshay Chinchalkar, Head of Research at Axis Securities, said the three-day drop in the Nifty is very similar to a formation that was seen at the March 2023 lows, which kicked off a multi-month bull market. “The fact that the pattern is occurring in the area where the COVID-era trendline is passing through makes the 22,700-22,800 area pivotal to the next big move. Any recovery attempt will face resistance between 23,050 and 23,150,” he added.
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Moving further, “Nifty needs to break above 24,051 (its 200 DMA) to confirm strength. Positives include Russia-Ukraine peace prospects, falling oil prices, a weaker US Dollar, and RBI’s rate cuts. However, FIIs have been net sellers in 2025, with Rs 1.16 lakh crore pulled out, raising concerns,” said Prashanth Tapse, Senior Vice President of Research at Mehta Equities.
Bank Nifty opened 385.25 points or 0.78% lower at 48,714.20. The Nifty Midcap 100 shed 1,089 points, or 2.19%, to open at 48,565.15.
M&M, Tata Steel, Hero MotoCorp, ICICI Bank, and HDFC Life Insurance were the major losers in the Nifty 50. On the flip side, Sun Pharma,
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