The Indian market went down today due to the negative global cues. The monthly derivatives expiry kept sentiments weak on Dalal Street. Sensex lost 581 points to 57,276 and Nifty lost 125 points to 17,152 at the end of the day. HCL Tech, Tech Mahindra and Dr Reddy's were the top Sensex losers, falling to 4.17%.
Axis Bank, SBI and Maruti Suzuki were the top Sensex gainers, rising to 2.81%. 21 of 30 Sensex stocks ended lower.
The index fell to 56,439 on the previous close of 57,858, down 1,419 points. It achieved a 837 point recovery from the day's low, but still managed to end in the red.
The mid cap and small cap indexes of the BSE fell 303 points and lost 235 points.
The market cap of BSE-listed firms fell to 259.97 lakh crore. The market breadth was negative with 1,480 stocks ending higher against 1,844 stocks closing lower on the BSE. 91 shares were unchanged.
The benchmark Nifty traded in the range of 300 points during the day, according to Rupak De, Senior Technical Analyst at LKP Securities. The recent low of 16836 was reached in early trades of Tuesday by the Nifty. Nifty has the support of 16,825. The market may be volatile going forward. On the lower end support is visible at 16,825 -- 16,800. A decisive fall below 16,800 may trigger a resumption of the corrective phase. If Nifty is in recovery mode, as long as 16800 is held. The Indian market snapped its five-day losing streak on Tuesday amid mixed global cues. Sensex rebounded by 366 points to 57,858. 15 and Nifty ended up 128.85 points higher at 17,277. Shrikant Chouhan, Head of Equity Research Retail Kotak Securities said Key benchmark indices reacted to weakness in other Asian markets, which faced the heat of the US Federal Reserve's hawkish comment that they may go for more rate hikes this year.
The rates hikes later in the year could worsen the sentiment, because investors fear that foreign investors are constantly pulling out of Indian markets. The markets are hampered by Russia-Ukraine standoff and rising oil prices.
Nifty has formed a double bottom suggesting a possibility of a new rally from the current levels. The momentum indicators also support a quick uptrend from the current levels, and the index has been consistently taking support near 16900.
A pullback rally could lift the index up to 17250 -- 17350 levels, if the traders are strong support levels and above that, 17000 and 16900 are strong support levels. The uptrend would be vulnerable if the price was below 16900. Domestic institutional investors DIIs bought shares worth Rs 4,534 crore, according to provisional data available on the NSE, and foreign institutional investors FIIs sold shares worth Rs 7,094 crore on January 25, and domestic institutional investors DIIs bought shares worth Rs 4,534 crore.
Market benchmarks in Tokyo and Hong Kong fell by more than 2%. The city of Seoul and Sydney sank nearly 3%. The NikkeiNikkei 225 in Tokyo fell 2.5% to 216,339. 53 and the Hang Seng in Hong Kong fell 2.2% to 23,753. The Shanghai Composite Index lost 0.9% to 3,423. The Kospi in Seoul fell 2.9% to 2,630. 65 and Sydney's S&P 500 was off 2.6% at 6,782. New Zealand and Singapore declined while Jakarta and Bangkok advanced.
On Wall Street, the S&P 500 fell to 4,349. 93 was up 2.2% ahead of the Fed announcement.
The Dow Jones Industrial Average fell by 0.4% to 34,168. The Nasdaq composite was little changed at 13,542. It was a 3.4% gain earlier in the day.