Markets traded lackluster in a tight range and eventually closed marginally lower. Initially, the benchmark opened marginally higher, however, the lack of follow-up buying limited the upside. It moved in a narrow band for most of the session, eventually ending in a collapse. Investors traded cautiously on the eve of the monthly F&O decline, which was also reflected in the overall sentiment. After trading in positive territory for most of the session, the indices fell slightly on selective profit taking in late trades. Also, with several challenges ahead, investors remain on the sidelines amid worries about the Russia-Ukraine crisis and the subsequent surge in crude oil prices. Technically, Nifty has formed a small bearish candle and is also holding a lower top formation that is broadly negative. We believe that narrow range activity is likely to continue in the near future. For the short-term traders, 17100 is immediate support and 17250 would be the key resistance level. Expect a quick pullback rally to the 17125-17150 levels if Nifty trades above 17100. However, if the index falls below 17100, further correction up to 17000-16900 is possible. Consequently, the Nifty index closed at 17063; down 0.2%. Noticeable actions on a broad front meanwhile kept the participants on their toes. Most sector indices, with the exception of real estate, ended flat to marginally lower in line with the benchmark. Markets are gradually drifting lower on excessive intraday volatility, mirroring global markets. Meanwhile, a mixed trend on the sector front adds to participants' concerns. In such a scenario, it is advisable to limit positions and wait for clarity on the next directional move.
Resistance: 17100, 17200, 17300
Support: 17000,
16900, 16800
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