Stories
Market Outlook: Will Nifty break below 22,000 amid heavy selling pressure?
- •Indian markets are expected to stabilize on Friday with Gift Nifty indicating a higher opening, though experts remain cautious due to recent sharp declines.
- •Nagaraj Shetty of HDFC Securities notes that Nifty has broken a crucial long-term trendline support at 22,400, with short-term trends pointing towards 21,800 to 21,700.
- •Nandish Shah points out that breaking below key swing lows has intensified selling pressure, identifying the next major support around 21,750.
- •Osho Krishan of Angel One highlights the 22,080 to 22,000 range as a critical support zone, warning that a technical bounce does not signal a trend reversal.
- •Rupak De of LKP Securities states that bears maintain a strong grip on the market, with immediate resistance seen at 22,350 if a rebound occurs.
Key Questions Answered
Market experts note that Nifty faces immediate resistance around the 22,350 to 22,500 range, while crucial support zones are identified between 22,000 and 22,180. If weakness persists and these support levels break, the index could potentially slip toward 21,750 or lower.
Experts maintain a cautious outlook because Nifty has experienced consecutive sessions of sharp declines and decisively broken its crucial long-term trendline support around 22,400 on the weekly chart. While a brief relief rally or technical bounce is possible after the massive sell-off, broader cues remain weak and bears continue to hold a strong grip.
In the previous trading session, Nifty closed 371 points lower at the 22,231 level, slipping below both its previous swing low support and crucial thresholds due to increasing selling pressure.
