BSE slumps over 1700 points as COVID 19 variant spokes out

BSE slumps over 1700 points as COVID 19 variant spokes out

What a freaky Friday it was for the Indian markets! The 30 share index fell over 1700 points to hit an intraday low of 56,993. The 89 and Nifty fell below 17,000 mark to hit an intraday low of 16,985. In South Africa, rising cases of a new coronavirus variant spooked global markets, as rising cases of the new coronaviruses spooked global markets.

Equity benchmark Sensex plummeted over 800 points on heavy over-the- board selling in early trade due to a negative trend in global markets and unabated foreign fund outflows.

Israel has identified its first case of the COVID 19 variant, which was first detected in South Africa. Israel has identified a variant discovered in southern African states, according to the Israeli health ministry.

Only 4 stocks ended up in the green on the BSE, including Dr Reddy's, Nestle India, Asian Paints and TCS.

Jay Thakkar, VP and Head of Equity Research, Marwadi Shares and Finance Ltd. is a technical view.

The bearish head and shoulders pattern has led to a reverse of the Nifty. The neckline resistance of the same is pegged in the range 17600 17700, while the target is at 16900 16700 levels. The momentum indicator MACD has gone into sell mode on the weekly charts, which is quite negative.

If December closes in the negative territory, there will be a negative close in November, which will happen after six consecutive positive quarterly closes.

In the December series, the outlook is negative and we recommend lightening the long positions and aggressive traders can short sell on rise.