Sensex, Nifty likely to remain under pressure for the rest of the session

Sensex, Nifty likely to remain under pressure for the rest of the session

After five sessions of losses, investors and traders are curious about the direction Sensex and Nifty will take today. Even as SGX Nifty indicates a higher opening, the bulls are likely to remain under pressure during the rest of the session, even though there isn't positive cues. SGX Nifty rose 97.50 points to 17,027, indicating a positive start today.

Singapore Nifty SGX Nifty is the Indian Nifty index that is traded in the Singapore Stock Exchange and is considered to be the first indication of the opening of the Indian market.

The stock market's course will be dictated by the rising number of Covid 19 cases in India and cues from the global market.

Parth Nyati, founder of Tradingo said that the Nifty has slipped below its important moving averages and psychological level of 17,000. The bulls need to defend themselves if we want to see more pain in the coming days, because 16900 - 16800 is another critical support zone. On the upside, 17150 -- 17300 will act as an immediate supply zone, while the 20 DMA of 17500 is a key hurdle. The Bank Nifty has also fallen below 200 DMA. We can expect more pain towards the 35,000 level if we take 36,000 as a psychological support level. 36700 -- 37000 is an immediate supply zone on the upside, while 37500 is the next hurdle. Deepak Jasani, Head of Retail Research, HDFC Securities said 16816 could be the next support, while 17068 could be a resistance. The high volumes on down days seem to be aggressive sellers in the markets and hence support levels may get broken if this continues. The overall structure suggests that the selling pressure can continue, according to Gaurav Ratnaparkhi, Head of Technical Research, Sharekhan, Head of Technical Research, Sharekhan by BNP Paribas. The index is expected to drop further towards 16500 -- 16400 in the short term. Tuesday's high of 17275 will be a crucial short term barrier.

Nagaraj Shetti, Technical Research Analyst, HDFC Securities said that the overall chart pattern of the Nifty indicates a downward trend. A move below the support of 16800 levels could open the door down to lower 16200 -- 16000 levels in the near term. Any pullback rally could find resistance around 17100 levels. Equity benchmarks extended losses for the fifth consecutive session on Tuesday, dragged down by HDFC twins and Infosys amid a mixed trend in global markets.

The Sensex was down 703 points to end at 56,463. The 30 stock index dropped 1157 points to 56,009 during the day. Sensex hovered around the positive territory for the majority of the session. It gained close to 300 points to 57,464. The Nifty fell 215 points to close at 16,958.