IGI Logo

Market Closing Commentary

On March 9, Indian benchmark indices extended their decline for the second consecutive session, with the Nifty closing slightly above the 24,000 mark. Despite the weakness, the index staged a recovery of nearly 350 points from the day’s low. Weak global markets and rupee hitting new low also weighed on investor sentiment.

 Meanwhile, crude oil prices retreated from their intraday highs after earlier climbing to their highest levels since mid-2022, amid escalating geopolitical tensions in the Middle East. Brent crude, the global oil benchmark, surged to around $119 per barrel, its highest level since July 2022.

At the close, the Sensex fell 1,352.74 points, or 1.71 percent, to 77,566.16, while the Nifty declined 422.40 points, or 1.73 percent, to settle at 24,028.05. In the broader market, the Nifty Midcap and Small cap indices dropped about 2 percent each. Sectorally, all indices ended in the red, with Auto, Capital Goods, Metal, PSU Bank, Oil & Gas, and Private Bank sectors registering declines of 2–4 percent.

Nifty Outlook 

Nifty has formed a bullish candle with a lower high and a lower low and a bearish gap above its head (24415-24078) signaling a partial pullback after a gap down opening. Overall bias continues to remain down. Volatility is likely to remain elevated amid uncertain global cues, rising crude oil prices and escalating geo-political tension. 

Index on Monday’s session rebounded after testing the key support area around 23,700-24,000 being the confluence of the 100 weeks EMA which has historically acted as key support and the trendline joining the lows of CY23 and CY25. Going ahead index holding above the support of 23,700 will signal a pullback towards 24,400-24,500 levels in the coming sessions. Failure to do so will lead to extension of the decline towards 23400-23,200 levels.

Above views are of the author and not of the website kindly read disclaimer