After falling over 1% a day before, domestic indices remained flat on the monthly F&O expiry. The Nifty 50 was trading around 17500, while Sensex stayed below 59600. If Nifty settles below 17,500 today, or breaks the 17,350 level, then the lower targets of 17,035 & 16,600 are expected in the coming weeks. “Worst Case Scenario: If we do close below 17,500 or break 17,350 – Expect lower targets of 17,035 & 16,600 in the coming weeks. Above levels will help us navigate this phase of “make or break” for the Indian Indices,” tweeted Rahul Sharma, Director & Head – Research, JM Financial Services Ltd.
Markets have remained volatile for the past few days and a possible reversal is expected near the crucial demand area of 17,500-17,450. “Post the Ukraine-Russia crisis, markets are getting into a 200 DEMA stress test for the third time now. Earlier lows were 16,747 in September 22, 17,353 in early Feb & today’s low of 17,455. 17,500-17,450 is a crucial demand area from where one can expect a possible reversal on the charts. Bullish RSI Divergence is seen on the daily charts of Nifty. BN remains a weaker link & needs a strong thrust of short-covering + fresh buying. PCR bouncing back from oversold territory in Nifty & Bank Nifty,” Rahul Sharma said.