16 February 2016


Late sell-off dragged market sharply on Tuesday. The Sensex ended down 362.15 points or 1.5 percent at 23191.97. The Nifty slipped 114.70 points or 1.6 percent at 7048.25. The Sensex opened at 23,689, touched an intra-day high of 23,692 and low of 23,165. It finally ended with a loss of 362 points at 23,191.The Nifty opened at 7,201 hitting a high of 7,205 and low of 7,038, before ending with a loss of 115 points at 7,048."Technically, we are in a bear market right now, because we have corrected by more than 20 per cent from the peak levels, which we made about a year ago last March. Right now, the market is driven a lot by what is happening globally.
"It is really a market which is 'sell on rallies'. The moves on the upside could be fairly ferocious like what we saw on Monday driven by short covering, but given the nature of flows, it is tough to believe that we have had a turnaround, and we could kind of rally back to 7,700. After previous day’s sharp upswing, just when one thought that the momentum has returned, the Indian equity market took a turn for the worse. There was blood shed all over the bourses. The Indian currency weakened further against the US dollar dampening sentiment. Meanwhile, oil prices gave away gains after a meeting between oil ministers from Saudi Arabia and Russia ended with consensus to freeze output at January's levels; however, there would be no cut in production.
Resistances: 7100, 7150, 7250
Supports: 7000, 6950, 6890

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