Volatility at its peak: Nifty50 burnt out and ends below 17000. Today, April 19th, 2022 turns out to be the highest volatile trading session for the stock market. No wonder, Nifty50 started the session on a positive note but was unable to sustain the levels. Therefore, towards the end of the trading session, the moving averages prompt bear to take action thereby resulting in an unexpected downfall.
The Russia-Ukraine conflict is day by day heading into another path. Hence, crafting a tension valve for our global economy. Recently, the Russian Foreign Minister says that another stage of the operation is about to begin. Moreover, Russian forces ask Ukrainian forces to lay off their weapons immediately.
Consequently, this two recent news about Russia and Ukraine combat smashes the stock market and ended low in today’s trading session.
At close, Nifty50 made a fall of 215.00 points or 1.25% and concluded at 16,958.70. Moreover, Sensex also plunges down by 703.59 points or 1.23% and ended at 56,463.15.
Amongst sectors, the rest of all other indices dragged down except oil and gas. IT, power, FMCG, and realty indices lower down by 2 percent each.
Top Nifty Gainers: Coal India, Apollo hospital, ICICI Bank, Reliance Industries, BPCL
Top Nifty Losers: Tata Consumer, HDFC, HDFC Life, SBI Life Insurance
Both BSE midcap and small-cap pulled down by 1 percent each.
Technical View:
Nifty future has support at 16700.
Now it’s a question that Nifty will break 16700 or take a dead cat bounce from lower levels. Positive news can help in this regard. FII sold heavily in the last two trading sessions while the greed and fear factor is still showing weakness on the chart. Nifty PCR is at 0.69 and maximum pain is at 17400.
On the other hand, Bank Nifty crashed sharply in the last 1 hour of the session. Bank Nifty has support at 35300–34400 on the downside. Bank Nifty PCR is at 0.55 and maximum pain is at 37000. A decisive break and close below 35700 will take Bank Nifty to 35300—35000 levels.
We will remain cautious in Indices and try to sell at the resistance. Traders should remain cautious at lower levels.