Stories
Stock Market Recovers After Sharp Decline With Nifty Bouncing Back
- •Buying returned to the stock market from lower levels after heavy selling in the afternoon session.
- •The Nifty 50 recovered by about 92 points from its intraday low of 22,558.95 to reach 22,651.15.
- •Investors booked profits following Tuesday's strong surge, creating high volatility in the market.
- •Expensive crude oil, foreign investor selling, and rising wholesale inflation added to market concerns.
- •Experts state that sustaining above the 22,750 level is necessary for further buying in Nifty.
Key Questions Answered
After heavy selling in the afternoon following a strong previous surge, the Nifty 50 slipped to an intraday low of 22,558.95 before recovering by about 92 points to reach 22,651.15. This volatility was driven by profit booking, expensive crude oil, foreign investor selling, and September's wholesale inflation reaching 11.39%.
According to Shrikant Chouhan of Kotak Neo, the key support level for the Nifty is situated at 22,480, while resistance is placed at 22,850. Furthermore, experts note that sustaining above 22,750 is necessary for further buying momentum, which could potentially push the Nifty up toward the 23,000 mark.
Market concerns were amplified by expensive crude oil, foreign investors offloading shares, and wholesale inflation for September climbing as high as 11.39%. Due to these compounding pressures, experts characterized the rebound from lower levels merely as a relief recovery rather than a definitive return of a bullish trend.
