Stock market today: Indian equity markets came under sharp selling pressure on Monday, with benchmark indices extending losses amid escalating geopolitical tensions in West Asia and a broad-based selloff in global technology stocks. Weak global cues and heightened risk aversion weighed on investor sentiment, prompting heavy selling across sectors.
The BSE Sensex plunged 821.73 points, or 1.11%, to 73,421.61, while the NSE Nifty 50 declined 286 points, or 1.22%, to 23,080.70 in early trade.
The primary catalyst behind the market weakness was the renewed escalation of hostilities between Iran and Israel, which reignited concerns over regional stability and global energy supplies. The conflict pushed crude oil prices sharply higher, raising concerns about inflationary pressures and the potential impact on oil-importing economies such as India.
Reflecting these concerns, Brent crude advanced 3.45% to USD 96.30 per barrel, while WTI crude gained 3.22% to USD 93.46 per barrel. Meanwhile, investors also grappled with a steep correction in global technology stocks, which spilt over into Asian markets and further dampened risk appetite. Gold prices eased 0.48% to USD 4,310.03 per ounce, as traders assessed the broader implications of the geopolitical developments and shifting market sentiment.
Market Views – Vinay Rajani, Senior Technical and Derivative Analyst, HDFC Securities
Nifty 50 Outlook
The had a volatile week but recovered slightly from its weekly low. Price action continues to hover around a crucial support zone, with the 23,150–23,000 region emerging as a key confluence area comprising the gap support and the 61.8% Fibonacci retracement level.
From a trend perspective, the Bearish Dow structure remains intact, with the weekly chart continuing to exhibit a lower top–lower bottoms formation. In addition, the index remains below key moving averages, while momentum oscillators remain in bearish territory. The immediate resistance is placed near 23,560. A sustained breakout above this level would improve the technical outlook and reinforce the bullish reversal scenario, potentially paving the way for a move toward 23,800 and higher levels. Conversely, any close below 23,000 could negate the bullish expectation and expose the index to further downside pressure toward 22,800 or lower.
From an Elliott Wave perspective, minor Wave ii/b has either completed at 23,151 or may extend toward the 23,100–23,000 zone. Minor Wave iii/c of major Wave C is likely to be confirmed above 23,800 or after a final dip toward support. A close below 23,000 would negate the bullish outlook. Broader market indices are relatively better placed than the benchmark index, Nifty 50.
We expect outperformance of broader market indices to continue. Nifty Next50, Midcap, Smallcap and Microcap250 indices carry higher relative strength, and market dips can be utilised to go long in these indices.
2 stocks to buy in the near-term
Buy Viyash Scientific 256| Stop-loss Rs. 240| Target Rs. 285
share price has broken out from bullish cup and handle pattern on the weekly chart. Primary trend of the stock is bullish with higher tops and higher bottoms on the daily and weekly chart. Stock is placed above all medium to long term moving averages. Indicators and oscillators have been showing strength on the short term charts.
Buy Federal bank 306 | Stop-loss Rs. 295| Target Rs. 325
The Federal bank share price is above all key moving averages, indicating an uptrend across all time frames. Small private banks have been outperforming the banknifty index, and the same is expected to continue. The stock has recently surpassed the double-top resistance at 301. Weekly RSI has been sustaining above 50. Weekly MACD is placed above the equilibrium line.
Disclaimer: This story is for educational purposes only. The views and recommendations above are those of individual analysts or broking companies, not Mint. We advise investors to check with certified experts before making any investment decisions.