Where is share market headed after Nifty closes below 18490, Bank Nifty below 43800; check support, resistance

Where is share market headed after Nifty closes below 18490, Bank Nifty below 43800; check support, resistance

Benchmark indices NSE Nifty 50 and BSE sensex concluded the weekly F&O expiry session in red. Towards the end of the session, Bank Nifty sank 400 points, hitting a day’s low of 43,706.15 and NSE Nifty 50 touched an intraday low of 18,464.55. The NSE Nifty 50 slipped 46.65 points or 0.25% settling at 18,487.75 and BSE Sensex tumbled 193.70 points or 0.31% to 62,428.54. In sectoral indices, Bank Nifty tanked 337.95 points or 0.77% to 43,790.20, Nifty Financial Service fell 0.63% while Nifty Pharma jumped 1.06%, Nifty PSU Bank rose 0.59% and Nifty Realty surge 0.98%. The top gainers on the Nifty 50 were Apollo Hospitals, Divis Lab, Bajaj Auto, Tata Motors and Hero Motocorp while the losers were Coal India, Kotak Bank, Bharti Airtel, SBI Life and HDFC Life.

“Despite challenges in the global economies, the domestic market displayed better than estimated Q4 earnings growth, along with 7.2% GDP growth in FY23, adding buoyancy to the market during the week. However, today the market closed with a marginal negative bias in which banks witnessed heavy profit booking. Investors turned cautious in anticipation of inflationary pressure in the US after raising the US debt ceiling. The US 10-year bond yield inched higher; the market is looking ahead to the trajectory of US interest rates to get more visibility,” said Vinod Nair, Head of Research at Geojit Financial Services.

Bank Nifty support at 43500-43400; resistance at 44200

Bank Nifty remained under the control of bears as they maintained their grip on the market. Selling pressure was observed from the resistance zone around 44,200, suggesting that sellers were active at that level. If the index sustains below the level of 44,000, it could indicate further downside potential. In such a scenario, the index may witness a decline toward the support zone around 43,500-43,400.